Breakout of the 102.00 level on the USD/JPY.

The Dollar strengthen today after the better than expected report on Durable Goods out of the United States for the month of April. This caused the USD/JPY to break above the 102.00 resistance level. Just below the 102.00 level, we have the 200 period Exponential Moving Average on the 4 hour chart, as shown on the chart below, courtesy of the Forex Broker Activtrades http://www.activtrades.co.uk/. We can clearly see that the 200 EMA has held back the price to the upside and has also contributed to creating this zone a good resistance area. Now that the price has broken the 102.00, we should wait for confirmation of the breakout, maybe by showing us two or three more bullish candlesticks and then the pullback to the same 102.00 level for a possible long entry. Let’s keep in mind that resistance becomes support and support, resistance.