The US dollar has returned to the pivotal 109.00 level against the Japanese yen currency, after the pair bounced from the 108.58 support level. Going forward, further weakness in the USDJPY pair should be expected while price trades below the 109.30 level. Given that risk-off trading sentiment is at elevated levels it still appears that the USDJPY pair could be heading much lower.
The USDJPY pair is only bearish while trading below the 109.30 level, key support is found at the 108.58 and 108.40 levels.
The USDJPY pair is only bullish while trading above the 109.30 level, key resistance is found at the 109.70 and 110.20 levels.