At mid-day on Wednesday, the USD/JPY currency exchange rate dropped below the pivot points that had kept it up throughout this week.
In the near term future, the currency exchange rate was expected to reach for the 105.00 mark, where a 23.60% Fibonacci retracement level was located at.
Economic Calendar
On Thursday, the weekly US Unemployment Claims will be out at 12:30 GMT. Since September, the publication caused moves of 4.2 to 14.8 pips.
On Friday, the US Retail Sales data is capable of causing slight increases of above normal volatility. However, in most cases the market barely reacts to this data. Namely, there are no sudden asset price and exchange rate adjustments.
The USD/JPY has moved from 6.1 to 13.6 pips on the release.
Click on the link below to find out more about the data releases.
USD/JPY short-term daily review
In the near term future, the rate was expected to reach the 105.00 level. At that level the pair would meet with the support of the 23.60% Fibonacci retracement level.Afterwards, the pair could trade sideways above the 105.00 mark or pass it. In the case of the support of the Fibo failing to keep the rate up, the rate would look for support in the weekly S2 simple pivot point at 104.87.
Hourly Chart
On the daily candle chart, the rate is ignoring the 55-day simple moving average, which was broken last week. Previously, the SMA kept the rate down for three months.
Daily chart
On Wednesday, traders of the Swiss Foreign Exchange were short, as 67% of all open position volume was in short positions.
Meanwhile, trader set up pending orders in the 100-pip range were 65% to buy.