Although, the rate was recovering on Monday morning.
Economic Calendar
On Monday, at 12:30 GMT the US Durable Goods Orders and Core Durable Goods Orders data will impact the pair.
Although this event is marked as high impact on most economic calendars, it has caused in the time-frame of five minutes moves only from 5.9 to 11.7 pips since start the of April.
On Thursday, at 12:30 GMT the US Preliminary GDP is scheduled to be published. The event has caused moves on USD/JPY charts from 2.8 to 19.4 pips since February.
USD/JPY short-term daily review
During the previous trading session, the USD/JPY currency pair reached the 2017/2019 low at 104.67. During today's morning, the pair was testing the resistance level formed by the weekly PP and the monthly S3 at 105.87.It is unlikely, that some upside potential could prevail in the market, as the exchange rate is pressured by the 55-, 100– and 200-hour SMAs, currently located circa 106.30.
If the given resistance holds, it is likely, that a reversal south could occur in the nearest future. Important support levels to look out for is the weekly S1 and S2, located at 104.91 and 104.34 respectively.
Hourly Chart
On the daily candle chart, the recent drop pierced the lower trend line of the dominant descending channel pattern.
Moreover, the rate had traded below the historical low level of 104.64.
Daily chart
Read More: Technical Analysis
Traders remain long
On Monday, 70% of USD/JPY open position volume on the Swiss Foreign Exchange was in long positions.
Meanwhile, trader set up orders were neutral. Namely, in the 100-pip range 53% of pending orders were set to sell and 47% were to buy.