On Tuesday, the US Dollar declined by 41 pips or 0.37% against the Japanese Yen. The currency pair tested the lower boundary of a descending channel pattern during yesterday's trading session.
Economic Calendar
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
As for the near future, the exchange rate could continue to edge lower. A breakout through the lower boundary of the descending channel is likely to occur within this session.However, if the channel pattern holds, a surge towards the 100– hour simple moving average at 109.47 could be expected during the following trading session.
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 Tuesday, traders on the Swiss Foreign Exchange were 64% short on the USD/JPY currency pair.
On Wednesday, 64% of open position volume was short.
Meanwhile, SWFX traders set up pending orders in the 100-pip range around the currency exchange rate were 42% to sell and 58% to buy.