USDJPY at critical juncture
The US dollar is consolidating losses against the Japanese yen currency, ahead of the key interest rate decision and monetary policy statement from the FOCM later today. The USDJPY pair is currently at a crossroads after staging a strong technical recovery from the 106.00 level earlier this month. A break below the 109.14 level exposes further losses towards the 108.10 level, while a move above the 110.00 level may provoke buying towards the 110.80 resistance area.
The USDJPY pair is only bearish while trading below the 109.14 level, key technical support is found at the 108.58 and 107.80 levels.
If the USDJPY pair moves above the 109.60 level, buyers may test towards the 110.00 and 110.80 resistance levels.