On Monday morning, the USD/JPY currency exchange rate found support in the 110.60 level. Afterwards, a surge followed. By the middle of the day's European trading, the rate was aiming at the 111.00 level.
Economic Calendar
On Monday, a slight move on all USD assets could be caused by the US Durable Goods Orders and Core Durable Goods Orders release at 12:30 GMT. The USD/JPY has moved from 4.0 to 12.1 pips on the release.
On Thursday, at the same time as the US GDP, the US weekly Unemployment Claims could also impact the USD. The GDP has moved the USD/JPY from 4.5 to 8.5 pips and the Unemployment Claims caused moves from 3.7 to 24.7 pips.
On Friday, at 14:00 GMT a notable move could be created by the US ISM Manufacturing PMI results. The event has caused 9.3 to 19.4 pip moves.
USD/JPY short-term review
If the 111.00 level manages to provide resistance, the rate could retrace down to the 110.80 and 110.60 levels. These round exchange rate levels have been providing both support and resistance to the currency pair. Below these levels, note the approaching 55-hour simple moving average near 110.40.However, the pair might continue to surge and reach above the 111.00 level. A surge above the 111.00 mark might find resistance in the weekly R1 simple pivot point at 111.34.
Hourly Chart
USD/JPY daily chart's review
On the daily candle chart, the rate has breached the 110.60 level zone, which kept the USD/JPY down since early July. A passing of this level could see the rate return to early summer high levels near 111.50.Daily chart
On Friday, on the Swiss Foreign Exchange, traders were short, as 74% of open position volume was in short positions.
On Monday, the sentiment was 73% short.
Meanwhile, trader set up pending orders in the 100-pip range around the rate were 57% to sell.