On Monday, the US Dollar edged lower by 56 pips or 0.51% against the Japanese Yen. The currency pair tested the weekly support level at 109.19 during Monday's trading session.
Economic Calendar
On Tuesday, at 12:30 GMT, the US Core Retail Sales and US Retail Sales are expected to be released. The Retail Sales have caused moves from 9.4 to 19.3 pips since January. The RS has moved the EUR/USD from 9.4 to 19.4 pips during this year.
On Wednesday, the top event of the week would occur. At 18:00 GMT, the US FOMC Meeting Minutes could cause a move from 10.8 to 54.3, as it had done since November 2020.
On Thursday, the US Unemployment Claims could cause a move from 5.9 to 28.8 pips.
USD/JPY short-term review
By and large, bears are likely to continue to drive the exchange rate lower during the following trading session. The possible target for bearish traders will be near the weekly S2 at 108.74.However, the lower boundary of a descending channel pattern could provide support for the currency exchange rate within this session.
Hourly Chart
USD/JPY daily chart's review
On the daily candle chart, the currency exchange rate fails to break the resistance level near the upper line of a descending channel pattern at 110.50.In the case of the channel holding, the USD/JPY pair could continue to trend downward during the following trading sessions.
Daily chart
On Monday, traders on the Swiss Foreign Exchange were 63% short on USD/JPY.
On Tuesday, the sentiment was 55% short.
Meanwhile, traders set up pending orders in the 100-pip range around the rate was 70% to buy.