During yesterday’s trading session, the USD/JPY currency rate tried to surpass the support level—the weekly R1 at 111.32.
As apparent on the chart, the rate has been trading in the ascending channel in since the end of March. Thus, it is expected that currency pair targets the upper channel line located circa 112.00. However, the pair has to surpass the resistance level formed by the weekly R1 at 111.76. If the given resistance holds, it is likely that a reversal south occurs in the nearest future.
From a theoretical point of view, it is unlikely, that the pair would go downside, as it is being supported by the 55-hour SMA at 111.29.
