- SWFX market sentiment is 61% bearish
- 55% of pending orders in the 100-pip range are to SELL
- Visual Jforex review at 12:00 GMT
The USD/JPY reveals new junior descending channel pattern on Monday.
The Energy Information Administration released the US Crude Levels data that came out better-than-expected of 3.8M, compare to forecasted negative 2.6M.
The senior analyst at Dukascopy says: " It was a usual release of US Crude Oil Inventories just like during the rest of the July. It caused a bounce in the range of 40-60 base points."
Visual Jforex review at 12:00 GMT
On Monday, Dukascopy research team are planning to host one webinar. Namely, Visual Jforex trading review scheduled at 12:00 GMT on bank live webinar platform.
USD/JPY reveals junior descending channel pattern
USD/JPY extended losses on Friday, driven by rather strong bearish momentum mid-session. It pushed the rate past the 55-, 100– and 200-hour SMAs down to the senior channel near 111.00.This line is supported by the 200-period SMA on the 4H chart. Thus, it is likely that the given cluster allows the rate to accelerate and aim for the upper boundary of a junior channel circa 111.60 today. The 55– and 100-hour SMAs are also located there. A breakout from this level would pave the way for a test of 113.00 this week.
By and large, the pair is likely not to show big leaps today and consequently remain stranded in between the senior channel and the aforementioned hourly SMAs.
Hourly Chart
In regards to the daily chart, previously, the currency exchange rate was set to face strong resistance levels each 50 base points. Namely, resistance at the 111.50 mark. Afterwards a resistance at 112.00, and above that level next resistance will be near 112.50.
On Wednesday, the first level was already passed. Next target was the 112.00 mark, which managed to hold ground.
Daily chart
Traders of Dukascopy, namely the Swiss Foreign Exchange, continue to short the USD/JPY. However, the proportion of short positions has decreased.61% of trader set up orders are short. Previously, 56% of orders were short.
Meanwhile, Swiss trader set up orders are bearish, as trader set up orders were SELL the US Dollar against the Yen.
Meanwhile, OANDA traders have also become more bullish, as 56% of open positions at the brokerage were long on the pair. Saxo bank traders are still bearish, as 53% of open positions were short at the brokerage. Previously, 51% of open positions were bearish.
It can be seen that retail still expects a short term decline in the pair. Meanwhile, long term Oanda traders are already bullish on the pair.
Spreads (avg, pip) / Trading volume / Volatility