On Friday, the USD/JPY currency pair traded upwards. During today’s morning, the pair raised to the resistance formed by the Fibo 23.60% and the weekly R1 in the 109.30 area.
If the given resistance holds, it is likely that a reversal south could occur in the nearest future. In this case it is unlikely that the exchange rate could drop lower than the support formed by the 55– and 100-hour SMAs, as well the Fibo 38.20% and the weekly PP in the 108.00 area.
If the given resistance does not hold, it is likely that some upside potential could continue to prevail in the market. Note that the currency pair would have to exceed the weekly R2 located at 109.89