Yesterday, the USD/JPY currency pair breached the rising wedge pattern south. During Wednesday morning, the pair surpassed the support level formed by the weekly PP at 107.71.
Note that the exchange rate is pressured by the 55-, 100– and 200-hour moving averages, currently located in the 107.75/107.98 range. Thus, it is likely that the rate could continue to go down. In this case the rate could gain support of the monthly PP at 107.44 and the weekly S1 at 107.24.
On the other hand, the US Dollar could trade sideways against the Japanese Yen in the nearest future, as the currency pair could try to surpass the given resistance within the following trading session.
