The USD/JPY currency exchange rate eventually found enough support in the 109.33/109.36 zone to pass the resistance of the 55-hour simple moving average, which reversed an attempted recovery on Tuesday. By the middle of Wednesday’s trading hours, the pair had reached above the 61.80% Fibonacci retracement level at 109.83.
In the near term future, the pair could first test the 110.00 level and afterwards the 110.20 mark. The 110.20 level stopped and reversed the rate’s late May sharp surge upwards.
If the USD/JPY passes the resistance of the 110.00 and 110.20 levels, the pair could reach the 110.50 mark and the weekly R1 simple pivot point at 110.55.
On the other hand, the 110.00 and 110.20 levels could once again force the USD/JPY into a decline. A potential decline would look for support in the 55 and 100-hour simple moving averages.
