The US dollar has given back earlier gains against the Japanese yen currency, with price now testing towards the pivotal 108.10 level. Buyers need to break above the 108.60 resistance level to encourage further buying, while sellers need a higher-time-frame price close below the 108.10 level. The MACD indicator on the four-hour time frame has yet to reach overbought trading conditions.
The USDJPY pair is only bearish while trading below the 108.10 level, key technical support is found at the 107.50 and 107.00 levels.
If the USDJPY pair trades above the 108.60 level, a further technical correction towards the 109.10 and 109.60 levels remains possible.
