UOB Research sees a scope for USD/JPY rally to extend towards 114.20 in the near-term.
"The clear break of the strong resistance above 112.20 coupled with weekly MACD turning positive indicates that USD/JPY is likely to advance further within these couple of months. The next resistance level of note is at Nov 2018 high of 114.20. In order to maintain the current strong momentum, USD/JPY should hold above the rising trend-line support (currently at 110.00)," UOB notes.
"From a longer-term perspective, the 55-week exponential moving average (currently at 108.85) is a very strong support level now," UOB adds.