Yesterday, the USD/JPY currency pair dropped to the support level formed by the 200-hour moving average and the weekly PP at 107.63. During Wednesday’s morning, the pair was testing the given support.
If the support level holds, it is expected, that the exchange rate could reverse north. However, note, that the rate has to surpass the monthly PP at 107.84.
It is unlikely, that the Japanese Yen could climb higher than the 108.01/108.14 range against the US Dollar due to the resistance of the 55– and 100-hour SMAs.
If the given support level and monthly PP hold, it is likely, that the pair could trade sideways within the following trading session.
