On Wednesday, the USD/JPY declined and found support in the combination of the 55, 100 and 200-hour simple moving averages and the weekly simple pivot point at 111.23/111.29. The support zone held and caused a retracement to the 111.50 mark.
On Thursday morning, the 111.50 eventually forced the rate into a decline to the combination of the 100-hour SMA and the weekly simple pivot point at 111.24.
Economic Calendar
On Thursday, the weekly US Unemployment Claims at 12:30 GMT might cause a minor move in the USD. The USD/JPY has moved from 3.7 to 24.7 pips on the releases that occurred in September.
On Friday, at 12:30 GMT, the US employment data sets will be out. Namely, the Average Hourly Earnings change, the Non-Farm Employment Change and the monthly Unemployment Rate are bound to impact the value of the US Dollar.
The pair has reacted to the US employment data since May 2021 with moves from 25.4 to 66.4 base points.
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
A decline below the 111.24 level would most likely extend as low as this week's low level zone at 110.85/110.90. Further below this week's low levels, the weekly S1 simple pivot point at 110.39 might serve a support.Meanwhile, a recovery of the USD/JPY might aim at the 111.50 level first. Afterwards, the 111.80 mark might once again act as a resistance level.
Hourly Chart
USD/JPY daily chart's review
Note the zone marked above the 112.00 currency exchange rate. The zone is the 2019 and 2020 high level zone. The zone is expected to provide resistance to the currency pair.Meanwhile, the summer high level zone had served as a support level to the pair's recent retracement down.
Daily chart
On Wednesday, on the Swiss Foreign Exchange, traders were short, as 73% of open position volume was in short positions.
On Thursday, the sentiment was 71% short.
Meanwhile, trader set up pending orders in the 100-pip range around the rate were 52% to buy.