Dollar Yen has broken out of wedge consolidation in quiet post-Christmas trade and looks set to continue higher. Pair has been trending up at an average of 250 pips per week for the past 7 weeks, but has been stuck in consolidation since setting a new 10 month high on the 15th of December. Today's break above the wedge top opens the path to 118.66, with further gains above there likely.
Initial resistance is a zone stretching from 118.35 to 118.66, with a break above there targeting round figure / 78.6 fib confluence at 120/120.10. Initial support is a zone stretching from 117.10 to 116.65, with a return to this zone neutralizing our bullish bias.