The US dollar continues to test critical resistance against the Japanese yen currency, as the pair fails to resume its recent downtrend. Technical analysis shows that a breakout above the 105.80 level could cause the USDJPY pair to rally towards the 106.20 area. To the downside, a loss of the 105.00 level could prompt a major decline in the USDJPY pair towards the 104.20 level.
The USDJPY pair is only bullish while trading above the 105.20 level, key resistance is found at the 105.80 and 106.30 levels.
The USDJPY pair is only bearish while trading below the 105.20 level, key support is found at the 104.50 and 104.20 levels.
