On August 25, the US Dollar surged by 38 pips or 0.35% against the Japanese Yen. The currency pair reversed from a support line at 109.71 during Wednesday's trading session.
Economic Calendar
On Thursday, the US Preliminary GDP could cause a notable reaction in the markets.
USD/JPY short-term review
Everything being equal, the exchange rate is likely to continue to trend bullish during the following trading session. The potential target for buyers will be near the 110.32 level.However, the USD/JPY currency exchange rate could find resistance at 110.10 within this session.
Hourly Chart
USD/JPY daily chart's review
On the daily candle chart, the currency exchange rate is bouncing around between the support of the 100-day simple moving average at 109.70 and the 55-day simple moving average at 110.10.In the case of the channel holding, the USD/JPY pair could continue to trend downward.
Daily chart
Read More: Technical Analysis
Traders remain short
On Wednesday, traders on the Swiss Foreign Exchange were 69% short on USD/JPY.
On Thursday, the sentiment was 67% bearish.
Meanwhile, traders set up pending orders in the 100-pip range around the rate was 61% to sell.