USD/JPY technical analysis: Sticks to modest gains near 23.6% Fibo. level ahead of US data

   •  The USD/JPY pair built on its steady intraday recovery from sub-108.00 level and is currently placed at the top end of its daily trading range. 

   •  Bulls, however, seemed struggling to capitalize on the recovery and extend the momentum beyond 23.6% Fibo. level of the 109.93-107.84 slide.

Meanwhile, technical indicators on the 1-hourly chart have been gaining positive momentum but are yet to catch up with the momentum and seemed to be the only factors holding investors from covering their short positions.

A sustained move beyond the mentioned hurdle might trigger some technical buying and assist the pair to aim towards testing 38.2% Fibo. level resistance near the 108.65 region before darting towards the 109.00 round figure mark. 

Alternatively, rejection from the current resistance zone, leading to a subsequent slide below the 108.00 handle will point to the resumption of the bearish trend and accelerate the slide further towards the 107.60-55 support area.

USD/JPY 1-hourly chart