USD/JPY Technical Analysis: Back-to-back doji candles signal indecision in the market

• The USD/JPY pair created doji candle on Monday and Tuesday, signaling indecision in the marketplace.
• A break above 114.23 (high of the Monday's doji) would signal a resumption of the rally from the Oct. 26 low of 111.38 and would open up upside toward the recent high of 114.55.
• The 5-day and 10-day simple moving averages (SMAs) are trending north indicating a bullish setup. Further, the pair has found acceptance above 113.34 – 61.8% Fib R of 114.55/111.38. As a result, the pair is likely to cross 114.23 in favor of the bulls.
• A close below 113.58 (low of yesterday's doji) would confirm a short-term bearish doji reversal, although prospects of a deeper drop would remain low as long as the pair is holding above the 10-day SMA.

Daily Chart

Trend: Neutral-to-bullish