On Friday, the USD/JPY currency pair declined to the 107.60 level. During today’s morning, the pair was trying to surpass the given level.
Note that the exchange rate is pressured by the 55-, 100- and 200-hour SMAs, currently located in the 107.89/108.04 range. Thus, it is likely that bears could prevail in the market, and the rate could target the weekly S1 at 107.21.
However, note that the currency pair has been trading within the ascending channel since last Thursday. If the given trend holds, it is likely that the pair could reverse north from its lower line located in the 107.30/107.50 range.
