Tuesday was rather uneventful for the USD/JPY exchange rate, as it spend the majority of the session slightly below the 100– and 200-hour SMAs.
The US Dollar eventually gathered enough momentum to dash through this resistance cluster early today. As a result, it was located near the boundaries of two channels circa 107.40.
From theoretical point of view, the rate should reverse near this area. However, it is more likely that the rate continues pushing higher, given its ability to surpass the comparatively strong resistance cluster near 107.20.
The nearest northern barrier is set the monthly R1 at 107.50, while a more probable upside target for today is the upward-sloping trend-line at 107.80.
