On Monday, the USD/JPY currency exchange rate traded between various hourly simple moving averages.
In regards to the future, the rate was expected to approach the resistance of the 108.00 level and the 200-hour SMA at 107.97.
Economic CalendarOn Thursday, at 12:30 GMT, the US Unemployment Claims are scheduled to be released. Most likely, the event would reveal another major decline in US employment.
Also on Thursday, at 13:45 US Manufacturing PMI could cause a move, as in February and March it created large moves.
Last but not least, a notable reaction of above then pips could be created by the US Durable Goods orders on Friday at 12:30 GMT.
USD/JPY short-term daily review
The USD/JPY currency pair has revealed a short-term ascending channel. During Monday morning, the pair was trading near the lower channel line at 107.60.From a theoretical perspective, it is likely that some upside potential could prevail in the market. However, note that the exchange rate would have to surpass the 200-hour SMA near 108.00.
If the given resistance holds, it is likely that the currency pair could consolidate, supported by the 100-hour SMA bear 107.60. Otherwise, the pair could raise to the resistance formed by the Fibo 50.00% and the weekly R1 in the 108.40 area.
Hourly Chart
On the daily candle chart, the rate keeps bouncing off the resistance of the 55, 100 and 200-day simple moving averages, which are located from 108.30 to 108.85.
Daily chart
Read More: Technical Analysis
Traders are short on USD/JPY
On Friday, 59% of trader open position volume on the Swiss Foreign Exchange was in short positions.
During Monday's trading, the sentiment had become 58% short.