The USDJPY pair expanded its sideways movements during the mid-European session and is set at the top end of a wider trading range kept in over the last week.
Given the recent bounce back from multi-year lows and a consequent breakthrough above 5-month-old descending trend-line, the ongoing price action may be classified as bullish consolidation.
In the meantime, oscillators on daily graphs kept up their bullish bias and add credibility to the near-term overview, supporting possibilities for a potential breakout on the upside.
All in all, traders are probably going to wait for a sustained strength above 200-day SMA barrier, close the 109.00-05 area, before situating for a move towards the key 110.00 figure. On the flip side, any significant pullback underneath the 108.40-35 area might draw some buying interest and help limit the downtrend.
The descending trend-line resistance breakpoint, currently close to the 107.80 level, presently appears to go about as solid help, which whenever broken may be seen as a key driver for sellers.