USD/JPY Price Analysis: Mildly offered around 110.00 as sellers attack 200-SMA

• USD/JPY bounces off intraday low to consolidate the day’s losses.
• Upbeat Momentum, bounce off 200-SMA keep buyers hopeful.
• Descending trend line from July challenge the upside.

USD/JPY picks up bids from 200-SMA to regain 110.00 as European traders prepare for Friday’s bell. Even so, the Japanese yen (JPY) pair, better known for its risk barometer status, prints a 0.10% intraday loss by the press time.

Not only the U-turn from the key SMA but the upward sloping Momentum line also hints at the pair’s further recovery moves.

However, one-week-old horizontal resistance near 110.22 can challenge the USD/JPY buyers before directing them to the key resistance line from July, around 110.45.

Should the quote rises past 110.45, the monthly high of 110.80 may offer an intermediate halt before direct the bulls toward July’s peak of around 111.65.

Meanwhile, a downside break of 200-SMA level of 109.90 will drag the quote towards an ascending support line from August 04, surrounding 109.50.

Should the quote fails to recover from 109.50, a six-week-old horizontal area around 109.10-05, followed by the 109.00 threshold, will challenge the USD/JPY bears.

USD/JPY: Four-hour chart

Trend: Further upside expected