On Tuesday, the USD/JPY currency pair raised to the 106.60 level. During today’s morning, the pair reversed south.
It is likely that the exchange rate could gain support from the 55-, 100– and 200-hour SMAs, as well the weekly and monthly PPs in the 105.89/106.14 area. Thus, the rate could go upwards and reach the Fibo 38.20% at 106.86.
Meanwhile, note that the currency pair could face the resistance level—the weekly R1 at 106.65. Thus, it is likely that the pair could trade sideways within the following trading session.
