On Wednesday, the USD/JPY currency pair traded sideways in the 106.60 area. During today’s morning, the pair maintained its consolidation.
Note that the exchange rate is pressured by the 55-hour SMA near 106.70. Thus, some downside potential could prevail in the market, and the rate could target the psychological level at 106.00.
However, note that the pair is supported by the weekly S3 at 106.44. If the given level holds, it is likely that the US Dollar could continue to consolidate against the Japanese Yen in the short run.
