The USD/JPY currency pair remains under pressure of the 100-hour moving average near 103.60. Thus, some downside potential could prevail in the market.
Note that the pair could gain support from the weekly S3 at 103.00.
Economic Calendar
There are no more notable events for the rate this week. However, during Thursday's trading hours the next week's event review is set to be published. The article will be available in the Fundamental Analysis section.
The week of Christmas is set to have an early market closing on Thursday in many countries and reduced liquidity due to people being on holidays. However, there are still four noteworthy data sets being released in the days before people are off from work.
All of the data releases of the week are scheduled to occur on 13:30 GMT.
Namely, on Tuesday, the US Final GDP could cause volatility. On Wednesday, Canadian statisticians will publish their monthly GDP data.
Last but not least, on Thursday, the US Durable Goods Orders and Core Durable Goods Orders data will be released.
Click on the link below to find out more about the data releases of this and other currency exchange rates.
USD/JPY short-term daily review
During today's morning, the USD/JPY currency pair dropped below weekly S2 at 103.41.From the one hand, it is likely that the exchange rate could gain support from the weekly S3 at 103.00 and reverse north in the short term. In this case the rate could re-test the weekly S1 at 103.76.
From the other hand, it is likely that the currency pair could remain under pressure by the 55-, 100– and 200-hour moving averages in the 103.60/104. area. Thus, bears could continue to prevail in the market.
Hourly Chart
On the daily candle chart, the rate has passed the November low level of 103.20. Next target for the rate on the daily candle chart could be the 2020 low level of 102.00.
Daily chart
On Friday, on the Swiss Foreign Exchange 65% of volume was in long positions.
On Thursday, the sentiment was 66% long.
Meanwhile, trader set up pending orders in the 100-pip range around the rate were 54% to sell the pair.