Yesterday, the USD/JPY currency pair tried to surpass the support level formed by the weekly S1 and the Fibo 38.20% at 108.44. During Friday morning, the pair was testing the resistance formed by the 55-hour SMA at 108.69.
If the given resistance holds, it is likely that some upside potential could prevail in the market in the nearest future. In this case the exchange rate has to surpass the resistance formed by the 100– and 200-hour SMAs, as well the weekly PP located circa 108.90.
However, if the given resistance holds, it is likely that the US Dollar could trade sideways against the Japanese Yen within the following trading session. Also, it is unlikely that bears could prevail, and the rate could drop lower than the 108.20 mark.
