USD/JPY Price Analysis: Buyers struggle near multi-month top around 110.40

• USD/JPY prints minor losses on Tuesday in the Asian session.
• More upside for the pair on the cards, if price breaks the descending trendline.
• Momentum oscillator hold onto the oversold zone with bullish crossover.

USD/JPY treads water on Tuesday in the Asian session. The pair hinges near the daily resistance around 110.40.

At the time of writing, USD/JPY is trading at 110.28, down 0.01% so far.

USD/JPY daily chart

On the daily chart, after making a high at 111.65 on July 2, the pair has been under consistent selling pressure.

The descending trendline from the top acts as strong resistance for the bulls. If price breaks the bearish sloping line it will meet the first upside target at the 110.50 horizontal resistance level.

The Moving Average Convergence Divergence (MACD) indicator trades in the oversold zone with a bullish crossover. Any uptick in the MACD would testify the 110.80 horizontal resistance zone back into action.

Next, the USD/JPY bulls would make effort to capture the high made on July 5 at 111.19.

Alternatively, If price moves lower, it could crawl back to the 50-day Simple Moving Average (SMA) at 110.10.

A daily close below the 50-day SMA would confirm the downside movement to continue toward the 109.85 horizontal support level.

Next, the market participant would aim for the low made on August 5 at 109.40.

USD/JPY additional levels