During previous trading day, the USD/JPY currency pair tumbled to the 108.80 level. During Monday morning, the pair reversed north.
On the one hand, the exchange rate could gain support of the weekly S1 and monthly PP at 108.90 and extend gains in the nearest future. In this case it is unlikely that the rate could exceed the Fibonacci 50.00% retracement at 109.58.
On the other hand, note that the currency pair is pressured by the 55-hour moving average, currently located at 109.40. Thus, the pair could maintain its decline in the short run. A possible downside target is the Fibonacci 38.20% retracement at 108.44.
