On Friday, the USD/JPY currency pair pierced the Fibo 38.20% at 106.86. During today’s morning, the pair was testing the resistance provided by the 55-hour SMA and the weekly PP at 107.10.
If the given resistance holds, it is likely that a reversal south could occur in the nearest future, and the exchange rate could decline in the nearest future. Note that the nearest support– the weekly S1, is located at 106.45.
However, if the Fibo 38.20% holds, it is likely that the US Dollar could trade sideways against the Japanese Yen in the nearest future.
