At mid-day on Tuesday, the USD/JPY currency exchange rate passed the resistance of the weekly simple pivot point and the 100 and 200-hour simple moving averages in the 109.92/109.95 zone. However, the rate's attempts at surging higher were immediately stopped by the 110.00 mark.
Economic Calendar
On Friday, the rate could move due to the publication of the US Producers Price Index at 12:30 GMT.
USD/JPY short-term review
If the rate manages to pass the resistance of the 110.00 level, the pair could reach for the 110.24 level, where the weekly R1 simple pivot point would provide resistance. In addition, the zone that surrounds the pivot point kept the rate down during August.On the other hand, a potential decline would look for support first in the 100 and 200-hour SMAs and the weekly simple pivot point. Afterwards, the 55-hour SMA at 109.84 might keep the pair up.
Hourly Chart
USD/JPY daily chart's review
On the daily candle chart, despite piercing the resistance of the 55-day simple moving average on September 1, the rate appears to have returned to trading between the 55 and 100-day simple moving averages. Namely, the 100-day simple moving average provide support near 109.70 and the 55-day SMA provides resistance near 110.10.Daily chart
Since Friday, traders on the Swiss Foreign Exchange were 67% short on USD/JPY.
Meanwhile, traders have set up sell orders. Namely, on Tuesday, trader set up pending orders in the 100-pip range around the rate were 65% to sell.
On Monday 51% of orders in that range were to sell.