The USD/JPY declined on Tuesday. The decline reached down to the 109.60 level and the weekly S1 simple pivot point at 109.58. Afterwards, a recovery started, which by the middle of Wednesday's trading had reached the resistance of the 110.00 mark.
Economic Calendar
The top event of all will take place on Wednesday at 18:00 GMT. The US Federal Reserve is scheduled to make a Rate Statement.
On Thursday, the US Advance GDP at 12:30 GMT is bound to move the US Dollar's value. In addition, at the same time the US Unemployment Claims could cause volatility.
Click on the link below to find out more about the data releases of this and other currency exchange rates.
USD/JPY short-term review
In the case that the rate passes the resistance of the 110.00 level, it would face a cluster of technical resistance from 110.04 to 110.19. The cluster consists of 55, 100 and 200-hour simple moving averages and the weekly simple pivot point. Above these levels, the July high at 110.60 could be the next target.On the other hand, a bounce off from the resistance levels would once again look for support in the 109.60 level and the weekly S1 simple pivot point at 109.58.
Hourly Chart
USD/JPY daily chart's review
On the daily candle chart, the USD/JPY appears to be finding support in the 100-day simple moving average and the 61.80% Fibonacci retracement level at 109.64. Meanwhile, the pair has passed the support of the 55-day SMA.Daily chart
Since Tuesday, traders on the Swiss Foreign Exchange were 65% short on the USD/JPY currency pair.
Meanwhile, SWFX traders set up pending orders in the 100-pip range around the currency exchange rate were 50% to sell and 50% to buy.