USDJPY - January 30, 2015

With declining volumes and ADX under 15, the pair isn't likely to surprise us today yet. But looking at supports and resistances you can see a few opportunities to build a breakout strategy and catch a few pips in case momentum catches up suddenly.

You want to place your "traps" to catch any move up North: the long-term trend is still bullish and unchallenged.

• The resistance of the ascending channel of Sept/Oct 2014 that was broken on Nov 31st played as support on January 16th and is not far below. May the pair touch this line at around 117, this could be a good buying opportunity with a very tight stop.
• Since the beginning of December 2014 the pair has been contained in a declining channel, after a high at 121.700. If the pair manages to close a daily candle above 119.500 with growing volumes, then the channel is broken and this gives us a good opportunity to ride the wave up to June 2007's at 124.135, which should play as a strong resistance.