USD/JPY Price Analysis: Still sideways for now but the price is reaching the pattern apex

USD/JPY 1-hour chart

USD/JPY has been moving sideways for a while now but the pair is starting to make some interesting moves. Recently there was a price drop that was not sustained but it led to the major low on the chart below. The sideways market could continue to the next FOMC meeting on 16th September but the price is heading towards the end of the technical structure.

The dollar has been recovering against some of the majors recently but USD/JPY has not really picked up any major momentum. The most interesting point on the chart is the orange trendline above the price. If the price does break the top of the structure it could indicate more bullishness is to come. If that is the case the red resistance line at 106.30 is also lying in wait. 

On the downside, the main support level is at 105.85. There is a black trendline support before this but the trendline only has two touches so it is not the strongest. There does seem to be some support on the downside at when the price gest close to 105.00 the bulls come in pretty swiftly.

The indicators are looking more bullish now too. The MACD histogram is green and the signal lines are above the mid-line too. The Relative Strength Index is above 50 now and looks like it is heading toward the overbought level.

Overall there is no trend at the moment in USD/JPY. This could be the start of a move higher but if the move is to be sustained then a break of the previous wave high at 106.30 would be a good sign. 

Additional levels