The USD/JPY pair had a positive week, jumping from the 101.20 support area to 102.20. The US dollar soared versus the yen on the back of better-than-expected US employment figures on Thursday. Note that despite the increased volatility the pair is still trading in a sideways 102.80/100.80 channel
Based on the technical factors, our main scenario for the next week is bullish. We recommend buying the US dollar on a break above 102.20 with a target of 102.80. This area is expected to contain the buying optimism, at least for some time. 102.80 is the upper boarder of a long-term bearish triangle. Next important levels above the price are seen at 104.00 and 105.60. Not that the pair is now supported by the weekly bullish Cloud and the 55-week moving average.
Break below 101.20 would open the way to 100.80 and to the 100.00 mark.