On Monday, the USD/JPY currency pair tried to surpass the resistance level formed by the weekly R1 at 109.24. During today’s morning, the pair was trading near the given level.
Note that the exchange rate has been trading within the rising wedge pattern since the beginning of April. Thus, from theoretical perspective, it is likely that a reversal south could occur in the short run. But it is unlikely that the rate could decline below the Fibo 50.00% at 108.35.
On the other hand, the currency pair could gain support from the 55-hour SMA near 108.80 and trade upwards in the nearest future. In this case the pair could target the resistance formed by the Fibo 61.80% and the weekly R2 at 109.80.
