On Wednesday, the USD/JPY currency pair depreciated gradually. During today’s morning, the pair was testing the support formed by the 100– and 200-hour SMAs, as well the weekly PP near 104.20.
If the predetermined support holds, a reversal north could occur. In this case the exchange rate could target the weekly R1 located at 104.80 in the nearest future.
Meanwhile, note that the rate is pressured by the 55-hour moving average near 104.40. Thus, some downside potential could prevail within the following trading session.
