Yesterday, the USD/JPY currency pair traded upwards. During Friday morning, the rate was testing the resistance level formed by the weekly R1 and the monthly R2 at 110.25.
If the given resistance holds, it is likely that a reversal south could occur in the nearest future. In this case the currency pair could gain support of the 55– and 100-hour SMAs at the 110.00 area.
If the given support holds, it is likely that that the US Dollar could consolidate against the Japanese Yen in the nearest future. Otherwise, it is likely that the exchange rate could target the 109.80 level.
