Upside risks have dominated the US Dollar against the Japanese Yen since Thursday’s trading session. The currency pair tested a resistance level formed by the 200– hour simple moving average at 1.3359 on Friday morning.
If the 200– hour SMA holds, bearish traders are likely to pressure the exchange rate lower within this session.
However, if the currency exchange rate breaks the resistance level, as mentioned above, a surge towards the upper boundary of a descending channel pattern.
Note that Friday’s macroeconomic data releases scheduled at 12:30 GMT could play a significant role in the overall movement today.