USD/JPY declines below 115.00

Note: This section contains information in English only.
Source: Dukascopy Bank SA
At mid-day on Thursday, the USD/JPY currency exchange rate reached below the mid-February low level zone and the 115.00 mark. However, the event did not result in a follow-up decline, as the pair found support in the weekly S1 simple pivot point at 114.89.

Economic Calendar



During next week, there are various types of events, which could impact different currencies. However, among the events it is clear that the top one is the quarterly US Preliminary Gross Domestic Product data release on Thursday at 13:30 GMT.

On Tuesday, the US Markit Manufacturing and Services Purchasing Managers Index survey results are expected to cause move on all USD pairs and assets.

The week's notable events will end on Friday with the US Durable Goods Orders and Core Durable Goods orders publication at 13:30 GMT.

Click on the link below to find out more about data releases of this and other currency exchange rates.

USD/JPY short-term review

If the US Dollar passes below the 114.89 level against the Japanese Yen, the rate could look for support in the lower trend line of a channel down pattern, which has guided the rate since February 10. Below the trend line, the pair might find support in the weekly S2 simple pivot point at 114.19 and the support zone of the February low levels near 114.20.

On the other hand, a recovery of the USD against the JPY might encounter resistance in the 115.00 mark, before the pair approaches the combined resistance of the 50, 100 and 200-hour simple moving average at the 115.50 mark. Above the 115.50 mark, take into account the upper trend line of the channel down pattern.

Hourly Chart

USD/JPY daily chart's review

On the daily candle chart, the rate has reached the early 2022 high level and passed the November and January high level at 115.50. The rate needs to pass the 116.00 mark to book new high levels.

Most recently, it appeared that the currency exchange rate was retracing to the support of the 50-day simple moving average near 144.90. Below the 50-day SMA, note the 100-day moving average near 114.35.

Daily chart




Short sentiment declines

On Thursday, on the Swiss Foreign Exchange, traders were short, as 71% of open position volume was in short positions.

Meanwhile, trader set up pending orders in the 100-pip range around the rate were 63% to buy the USD against the JPY.

On Wednesday, the open positions were 74% short and pending orders were 58% to sell.

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