USD/JPY Technical Analysis: Still struggling for direction, set-up favors bullish traders

   •  The pair extended its sideways move through the mid-European session on Thursday and remained confined in a narrow trading band just below two-week lows set yesterday.

   •  Given the overnight break through a near one-month-old descending trend-line resistance, the range-bound price action might still be categorized as a consolidation phase.

   •  Meanwhile, technical indicators on the 1-hourly chart have been losing positive momentum but maintained their bullish bias on 4-hourly/daily charts, suggesting a brief pause.

   •  A sustained move beyond the 111.50-60 region will reaffirm the near-term constructive outlook and assist the pair to aim back towards reclaiming the 112.00 round figure mark.

USD/JPY 1-hourly chart