Since the start of the year the currency lost more than 6.0% but last week rallied more than 1.0% and last week made a phase change, shifting from an accumulation to a bullish phase.
Last week the USDJPY rose but with a narrow range and close near the high of the week, in addition managed to close above the previous week high, which suggests a strong bullish momentum. The pair may have found some resistance at 113.69 and can make a correction before another upward move.
The stochastic is showing an extreme overbought market but is still displaying bullish momentum.
Expecting an upward move to a weekly resistance at 118.84 on a break above the previous week high at 113.90 (scenario 1) however a break below the weekly resistance at 111.04 may trigger a sell-off downward to a weekly support at 107.20 (scenario 2).