As the 55-hour simple moving average approached the USD/JPY from above, it pushed the USD/JPY down. At midnight to Friday, the rate had shortly reached below the 109.40 mark. Afterwards, the pair tested the resistance of the 109.60 mark and the weekly S1 simple pivot point at 109.58.
Economic Calendar
Next week, on Monday, the US ISM Manufacturing PMI could cause a move. The USD/JPY has moved 9.3 to 19.4 pips on the release since March 1.
On Wednesday, at 14:00 GMT, the US ISM Non-Manufacturing PMIs is set to be released. The rate has moved 7.8 to 20.4 pips on the release.
The week will end with the Friday's release of the US employment data at 12:30 GMT. The event consists of the release of the US Average Hourly Earnings, US Non-farm Employment Change and US Unemployment Rate.
The rate has moved from 21.1 to 66.4 pips on the announcement.
Click on the link below to find out more about the data releases of this and other currency exchange rates.
USD/JPY short-term review
In the case that the rate manages to pass the resistance of the 109.60 mark it would most likely reach for the 55-hour simple moving average near 109.80. Above it, the 100 and 200-hour SMAs and the weekly pivot point surround the 110.00 mark.However, a decline of the rate could first find support in the mentioned 109.40 level. Afterwards, note the lower trend line of a channel down pattern near the 109.30 mark. Below the 109.30 level, the July low level near 109.07 might provide support.
Hourly Chart
USD/JPY daily chart's review
On the daily candle chart, on Friday, it appeared that the USD/JPY had passed the support of the 100-day simple moving average, which kept the rate up since the middle of July.Next notable support on the daily candle chart is the 50.00% Fibonacci retracement level at the 108.00 level.
Daily chart
On Friday, traders on the Swiss Foreign Exchange were 62% short on the USD/JPY currency pair.
On Thursday, 61% of open position volume was short.
Meanwhile, SWFX traders set up pending orders in the 100-pip range around the currency exchange rate were 32% to sell and 68% to buy.