On Wednesday, the USD/JPY currency pair edged higher by 41 pips or 0.38%. The surge was stopped by a resistance cluster at the 109.60 level during Wednesday's trading session.
Economic Calendar
On Thursday, the US Consumer Price Index, US Core Consumer Price Index and the US Unemployment Claims are set to be released exactly at 12:30 GMT. Most likely, all USD asset and pair moves from 12:30 to 12:35 could be attributed to these data sets.
The rate has moved from 8.9 to 44.4 pips during the release of the CPI since January 2021, and 7.4 to 21.7 pips on the release of the US Unemployment claims since May 6.
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
The US Dollar could continue to strengthen against the Japanese Yen during the following trading session. The potential for the exchange rate will be near the 110.16 area.However, the resistance cluster at 109.75 could provide resistance for the currency exchange rate in this session.
Hourly Chart
USD/JPY daily chart's review
On the daily candle chart, the pair is surging in the borders of a channel up pattern, which has guided it since the middle of April. In the meantime, the rate has additional support from the 55-day simple moving average at 109.20.In the case of the channel holding and the rate surging in its borders, a potential target would be the 2020 high zone near the 112.00 level.
Daily chart
On Thursday, traders on the Swiss Foreign Exchange were 65% short on USD/JPY, as 65% of open position volume was in short positions. Previously, the positions were 67% short.
Meanwhile, trader set up pending orders in the 100-pip range around the rate were 55% to sell after holding at 60% to buy for two days.