On Wednesday, the USD/JPY currency pair reached the resistance level formed by the weekly R2 at 108.13. During today’s morning, the pair reversed south from the given resistance.
Note that the exchange rate is supported by the 55– and 100-hour SMAs, currently located at 107.66 and 107.52 respectively. Thus, bulls could prevail in the market in the short term. A possible upside target could be the Fibo 38.20% at 108.44.
On the other hand, the Japanese Yen could consolidate near the given resistance level against the Greenback in the short term. Also, it is unlikely, that bears could prevail, and the pair could drop lower than the weekly R1 at 107.52.
