© Dukascopy Bank SA
Technical analysis shows that the pair breached its Monthly Pivot Point at 101.78 on Wednesday and traded around its 100-day SMA from 3 July to 4 July. As for this week, the USD/JPY failed to break above the 100-day SMA and traded around the 101 level to close Wednesday's trading session at 101.64.
The community members who took part in forecasting the pair's close for this Friday are mostly bullish on USD/JPY, with the average estimate set at 102.06 which happens to be the last week's closing price. "Geula4x" holds a bullish view ‘due to recent good USD news releases and the fact that 101.00 support area is holding well'. Daytrader comments on his bullish outlook by saying that it is ‘Quite hard to have an opinion on the USD/JPY taking in consideration that the pair is almost flat on the year. This market can break either way in the short-medium term, however the long term still remains to the upside'.
Fundamentals do not seem to have a major impact on the pair this week. However, Japan will publish data on core machinery orders and tertiary industry activity on Thursday.
© Dukascopy Bank SA