USD/JPY keeps head above 107

FXStreet (London) - Despite repeated attempts to close below 107, USD/JPY has traded in an around the level and is now at 107.17 and flat.

With no Japanese data overnight, and the FOMC tomorrow, trading has remained subdued today, with spot trading between 106.92-107.32, garnering strong support at the dual combination of daily S1 at 106.99 and 107.

Dmytro Bondar, Technical Analyst at RBS feels that the pair has potential to push a lot higher, citing 109.30 and 112.00 as his targets, but suspects that a correction at 107.48 could take place.

USD/JPY Technicals

With spot trading at 107.17, we can see next resistance ahead at 107.19 (Daily Open), 107.19 (Daily Classic PP), 107.35 (Daily High), 107.35 (Monthly High) and 107.35 (Weekly High). Support below can be found at 107.15 (Hourly 20 EMA), 107.06 (Hourly 100 SMA), 107.01 (Yesterday's Low), 107.00 (Daily Classic S1) and 106.93 (Daily Low).

RSI is ranging at 81.44, according to the daily chart. Pattern wise, we can see a Piercing Line formation on the 4-hour .