During the previous trading session, the USD/JPY currency pair reversed north from the 100-hour SMA at 108.34. During today’s morning, the pair was testing the resistance level formed by the weekly R1 at 108.61.
It is unlikely, that some downside potential could prevail in the market due to the support cluster formed by the 55-, 100-, and 200-hour SMAs, as well the Fibo 38.20% in the 108.37/108.51 range. Thus, the rate could surpass the given resistance and re-test the upper line of the short-term ascending channel circa 108.75.
If the given resistance holds, a reversal south could occur within the following trading hours. Note, that the rate is also supported by the weekly PP at the 108.22 mark.
