USD/JPY may be readying to resume the late-September uptrend as prices appear to break above a Bullish Pennant.
Still, highs from 2020 may act as key resistance between 111.68 and 112.22.
All eyes are on the US jobs report as the Fed gets ready to taper quantitative easing. A rosy outcome could further boost US bond yields, sending USD/JPY higher.
Conversely, a materially softer print risks derailing USD/JPY gains.
A breakout above 112.22 exposes the 61.8% Fibonacci extension at 112.63 towards 113.139. Otherwise, a turn back lower places the focus on the early October low at 110.79.