USD/JPY consolidates near 149.00

Note: This section contains information in English only.
Source: Dukascopy Bank SA
In the aftermath of the Monday's drop, the USD/JPY appears to have stabilized in the 148.75/149.30 range. Namely, the pair trades around 149.00. Meanwhile, the Bank of Japan has not confirmed involvement in the currency market. Moreover, the Finance Ministry has refused to comment on the move.

Economic Calendar



On Thursday, minor action is expected from the US Unemployment Claims.

On Friday, the top event of the week will take place. The United States will publish the monthly employment data at 12:30 GMT. The release will consist of the Average Hourly Earnings, Non-farm Employment Change and the Unemployment Rate.

Hourly Chart
In the case of a resumption of the prior surge, the combination of the 50 and 100-hour simple moving averages near 149.50 could act as resistance, before the 150.00 would be reached.

However, a potential decline of the US Dollar against the Yen could look for support in the 148.50 level and the weekly S1 simple pivot point. Further below, take into account the weekly S2 at 147.58, the 147.50 level and the Monday's low level at 147.28.

USD/JPY daily chart's review

On the daily candle chart, the rate passed below the lower trend line of the channel up pattern which captures the recent month surge. However, it appears that the 1998 high level has acted as support.

Daily chart



Traders are mostly shorting

On Tuesday, traders were bearish on USD/JPY, as 74% of open positions on the Swiss Foreign Exchange were short.

In the meantime, trader pending orders in the 100-point range around the current exchange rate were 59% to buy.

By mid-Wednesday, positions were 72% short and orders were 52% to buy.

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