On Friday, the USD/JPY currency pair declined below 106.00. During today’s morning, the pair was testing the weekly S1 at 105.87.
If the given support holds, it is likely that a reversal north could occur, and the exchange rate could target the resistance formed by the 55-hour SMA and the weekly PP at 106.46.
Meanwhile, note that the currency pair would have to exceed the monthly S1 at 106.05. If the predetermined level holds, it is likely that the Greenback could consolidate against the Japanese Yen in the short run.
