During Thursday morning, the USD/JPY currency pair raised to the Fibo 50.00% at 109.58.
If the given level holds, it is likely that the pair could consolidate.
Economic CalendarThis week, there are no events left that could impact the USD/JPY currency pair.
Meanwhile, Dukascopy Analytics are not publishing the historical reactions this week, as the market environment has changed to such a degree that the historical data is unlikely to be relevant.
USD/JPY short-term daily review
Yesterday, the USD/JPY currency pair exceeded the Fibo 38.20% at 108.44. During Thursday morning, the pair was testing the Fibo 50.00% at 109.58.On the one hand, it is likely that the exchange rate could trade upwards within the medium-term ascending channel. In this case the rate could face the resistance level—the monthly R1 and the Fibo 61.80% at 110.72.
However, if the Fibo 50.00% holds, it is likely that the US Dollar could trade sideways against the Japanese Yen in the short run. Also, it is unlikely that bears could prevail, and the pair could breach the given channel south due to support of the 55-hour SMA.
Hourly Chart
On the daily candle chart, the currency exchange rate was recovering, as it retraced back up to the daily simple moving averages. The SMAs provided technical resistance.
Daily chart
Read More: Technical Analysis
Traders are neutral
On Thursday, 51% of open USD/JPY position volume on the Swiss Foreign Exchange was in long positions.