The US dollar is holding onto its recent gains against the Japanese yen currency on Wednesday, following an improvement in risk-on trading sentiment. If fears over the coronavirus return the USDJPY pair could quickly slump back towards the 108.40 area. Overall, traders may start to fade to the recent move higher if the USDJPY pair reaches the 109.70 area.
The USDJPY pair is only bearish while trading below the 109.00 level, key support is found at the 108.40 and 107.50 levels.
The USDJPY pair is only bullish while trading above the 109.00 level, key resistance is found at the 109.70 and 110.20 levels.
