diff --git a/src/repeat.ts b/src/repeat.ts
index 97c5423..6ca555b 100644
--- a/src/repeat.ts
+++ b/src/repeat.ts
@@ -29,6 +29,9 @@ import {AbstractRepeater} from './abstract-repeater';
 @templateController
 @inject(BoundViewFactory, TargetInstruction, ViewSlot, ViewResources, ObserverLocator, RepeatStrategyLocator)
 export class Repeat extends AbstractRepeater {
+
+  static useInnerMatcher = true;
+
   /**
    * List of items to bind the repeater to.
    *
@@ -269,7 +272,9 @@ export class Repeat extends AbstractRepeater {
     if (viewFactory) {
       const template = viewFactory.template;
       const instructions = viewFactory.instructions;
-      const instructionIds = Object.keys(instructions);
+      if (Repeat.useInnerMatcher) {
+        return extractMatcherBindingExpression(instructions);
+      }
       // if the template has more than 1 immediate child element
       // it's a repeat put on a <template/> element
       // not valid for matcher binding
@@ -284,24 +289,7 @@ export class Repeat extends AbstractRepeater {
         return undefined;
       }
       const repeatedElementTargetId = repeatedElement.getAttribute('au-target-id');
-      for (let i = 0; i < instructionIds.length; i++) {
-        const instructionId = instructionIds[i];
-        // matcher binding can only works when root element is not a <template/>
-        // checking first el child
-        if (instructionId !== repeatedElementTargetId) {
-          continue;
-        }
-        const expressions = instructions[instructionId].expressions as BindingExpression[];
-        if (expressions) {
-          for (let ii = 0; ii < expressions.length; ii++) {
-            if (expressions[ii].targetProperty === 'matcher') {
-              const matcherBinding = expressions[ii];
-              expressions.splice(ii, 1);
-              return matcherBinding;
-            }
-          }
-        }
-      }
+      return extractMatcherBindingExpression(instructions, repeatedElementTargetId);
     }
 
     return undefined;
@@ -362,3 +350,28 @@ export class Repeat extends AbstractRepeater {
     }
   }
 }
+
+/**
+ * Iterate a record of TargetInstruction and their expressions to find first binding expression that targets property named "matcher"
+ */
+const extractMatcherBindingExpression = (instructions: Record<string, TargetInstruction>, targetedElementId?: string): BindingExpression | undefined => {
+  const instructionIds = Object.keys(instructions);
+  for (let i = 0; i < instructionIds.length; i++) {
+    const instructionId = instructionIds[i];
+    // matcher binding can only works when root element is not a <template/>
+    // checking first el child
+    if (targetedElementId !== undefined && instructionId !== targetedElementId) {
+      continue;
+    }
+    const expressions = instructions[instructionId].expressions as BindingExpression[];
+    if (expressions) {
+      for (let ii = 0; ii < expressions.length; ii++) {
+        if (expressions[ii].targetProperty === 'matcher') {
+          const matcherBindingExpression = expressions[ii];
+          expressions.splice(ii, 1);
+          return matcherBindingExpression;
+        }
+      }
+    }
+  }
+};
diff --git a/test/repeat.issue-378.spec.ts b/test/repeat.issue-378.spec.ts
index 0210c77..2d0a91e 100644
--- a/test/repeat.issue-378.spec.ts
+++ b/test/repeat.issue-378.spec.ts
@@ -2,10 +2,12 @@ import './setup';
 import { StageComponent } from 'aurelia-testing';
 import { bootstrap } from 'aurelia-bootstrapper';
 import { waitForFrames } from './test-utilities';
+import { Repeat } from '../src/repeat';
 
 // https://github.com/aurelia/templating-resources/issues/378
 fdescribe('repeat.issue-378.spec.ts', () => {
   it('works with <div repeat[Array] /> -->> <... matcher />', async () => {
+    Repeat.useInnerMatcher = false;
     const model = new class {
       products = [
         { id: 0, name: 'Motherboard' },
@@ -45,9 +47,11 @@ fdescribe('repeat.issue-378.spec.ts', () => {
     expect(model.selectedProduct).toBe(model.products[2]);
 
     component.dispose();
+    Repeat.useInnerMatcher = true;
   });
 
   it('works with <div repeat[Map] /> -->> <... matcher />', async () => {
+    Repeat.useInnerMatcher = false;
     const model = new class {
       products = new Map([
         [0, 'Motherboard'],
@@ -87,17 +91,19 @@ fdescribe('repeat.issue-378.spec.ts', () => {
     expect(model.selectedProduct).toEqual(Array.from(model.products)[2]);
 
     component.dispose();
+    Repeat.useInnerMatcher = true;
   });
 
   describe('QA', () => {
     it('works with matcher', async () => {
       const model = new class App {
+
         components: any[];
         componentsAlternative: any;
         objComponents: any[];
         objComponentsAlternative: any[];
         amatcher: (a: any, b: any) => boolean;
-        matcherCalls: number;
+        matcherCallCount: number;
 
         constructor() {
           this.components = [];
@@ -113,9 +119,9 @@ fdescribe('repeat.issue-378.spec.ts', () => {
             this.objComponentsAlternative.push({ id: i, text: i - 1, cls: 'obj-comp-alt' });
           }
 
-          this.matcherCalls = 0;
+          this.matcherCallCount = 0;
           this.amatcher = (a, b) => {
-            this.matcherCalls++;
+            this.matcherCallCount++;
             return a.id === b.id;
           };
         }
@@ -130,18 +136,33 @@ fdescribe('repeat.issue-378.spec.ts', () => {
           this.objComponents = this.objComponents.slice(0).reverse();
         }
       };
-      const view = `
-        <button click.delegate="swapArrays()">Swap arrays</button>
+      const view =
+        `<button click.delegate="swapArrays()">Swap arrays</button>
         <br>
-        <template
+        <dummy
           repeat.for="obj of objComponents"
           matcher.bind="amatcher"
-          class="a-matcher \${obj.cls}">
-          [\${$index}]
-        </template>`;
+          class="a-matcher"
+          obj.bind="obj"
+          index.bind="$index">
+        </dummy>`;
 
       const component = StageComponent
-        .withResources()
+        .withResources([
+          class Dummy {
+            static $view = `<template class="\${obj.cls}" dataa-counter="\${counter}">[\${index}]</template>`;
+            static $resource = {
+              name: 'dummy',
+              bindables: ['obj', 'index']
+            };
+
+            counter = 0;
+
+            attached() {
+              this.counter++;
+            }
+          }
+        ] as any)
         .inView(view)
         .boundTo(model);
 
@@ -152,10 +173,10 @@ fdescribe('repeat.issue-378.spec.ts', () => {
       expect(document.querySelectorAll('.obj-comp').length).toBe(10);
 
       model.swapArrays();
-      await waitForFrames(2);
+      await waitForFrames(1);
 
       expect(document.querySelectorAll('.obj-comp-alt').length).toBe(10);
-      expect(model.matcherCalls).toBeGreaterThan(40);
+      expect(model.matcherCallCount).toBeGreaterThan(40);
 
       component.dispose();
     });