During the previous trading session, the USD/JPY currency pair tried to surpass the 200-hour SMA at 106.17. During today’s morning, the pair was testing the given resistance.
Note that the exchange rate is supported by the 55– and 100-hour SMAs, as well the weekly PP and the monthly S2 at 105.87. If the given support and resistance hold, it is likely that the rate could consolidate in the short term.
However, if the given support level does not hold, it is likely that some downside potential could prevail in the market. Note that the nearest support level—the weekly S1, is located at the 104.91.
