USDJPY nearing breakout support

The US dollar has continued to weaken against the Japanese yen during the European trading session due to growing concerns about the geopolitical situation in Iran. The USDJPY pair is now approaching breakout support at 109.00, with limited below until the 108.40 level. Overall, continued weakness in the USDJPY pair may prompt a key test of the 107.70 level this week.

• The USDJPY pair is heavily bearish while trading below the 109.00 level, key support is found at the 108.40 and 107.70 levels.

• If the USDJPY pair trades above the 109.60 level, key intraday resistance is found at the 109.80 and 110.00 levels.