The USD/JPY broke sharply higher, which was expected from a technical perspective. Price accelerated strongly after break out of the corrective channel (circled zone). We can see that price made a very strong move to the upside in a very short period of time; clearly the personalty of an impulse so we think its wave (iii), part of a new five wave rally. Resistance for this wave (iii) comes in around 95.60-96.15 zone, from where we could see a fourth wave retracement back to 94.60 area. It seems that the USD/JPY pair is headed back to the highs.

Forex Analysis by Gregor Horvat at ForexPros. com