USD/JPY: En-Route Towards 111.20 Resistance

With a stubborn DXY still bid despite the dual recovery in the S&P 500 and the US 30-yr bond yields, both showing bullish micro slopes, the clear path is for the upside pressure to keep building up. To start the week, technicals are promoting this narrative after the breakout of a sticky area of resistance in the hourly circa 110.85, which has allowed a test of the next area of resistance around 111.00, while opening the doors towards what’s expected to be a stronger wall of offers at 111.20 approximately, which is the breakout point of the major selloff seen last March 20. There is no reason to shift to an intraday sell-side bias while the intermarket flows remain so supportive.