Economic Calendar
On Friday, the United States Bureau of Economic Analysis will publish the Core Personal Consumption Expenditure Price Index at 13:30 GMT. The change of the index shows how inflation impacts consumers. It is different from the CPI with the fact that it measures only goods that are consumed by individuals.
USD/JPY hourly chart analysis
A move below 142.00 could find support in the 141.50 and 141.00 levels that acted as support during the end of last week. Further below, note the major impact that the 140.00 mark could have. It might serve as a strong level just like the 150.00.On the other hand, a potential recovery of the USD/JPY rate could find resistance in a newly forming cluster of technical levels. Namely, the 50, 100 and 200-hour simple moving averages are all approaching the weekly simple pivot point at 143.23. Meanwhile, note the the 142.50 143.50 and 144.00 levels have acted as support and resistance. The 143.00 level though has been ignored. If all of these levels fail, the 144.30/145.00 range is highly likely once again going to impact the pair.
Hourly Chart
USD/JPY daily chart's review
On the daily candle chart, the USD/JPY face a resistance line that has kept the rate down since the pair booked the high level on November 12. Most recently, the trend line held and supported the combination of the 200-day SMA and the 144.60/146.00 zone.Regarding the future, if the 140.00 mark does not act as support, note the support and resistance range at 137.30/139.40.
Daily chart
Read More: Technical Analysis
Trader short sentiment decreases
On Thursday traders were 58% short, but pending orders in the 100-pip range around the current rate were 59% to sell.
At the start of Wednesday's Asian trading hours, the sentiment was just 54% short. Traders have reopened some of their short positions and additional positions could be opened.