- SWFX market sentiment is 70% bullish
- Pending orders in the 100-pip range are 66% to BUY
- Banks in the US are closed due to Easter Holidays
Following a reversal from the two-week high of 107.00 late on Wednesday, the US Dollar began weakening against the Yen once again.
The Bureau of Economic Analysis revealed higher final GDP in the Q4 2017, however the market remained almost unchanged. The Bureau of Economic Analysis reported a growth of 2.9%, surpassing the expectations and following a 3.2% growth rate recorded in the previous period.
One of the main reasons for the US economy to expand more than forecast is the increase in consumer spending.
Market relatively calm due to Easter Holidays
Due to Easter holiday, all banking sector in the United States is closed as Christian observed Good Friday.
USD/JPY approaches 106.00
Following a reversal from the two-week high of 107.00 late on Wednesday, the US Dollar began weakening against the Yen once again. Thursday's trading session marked a slight tendency south down to the 55-hour SMA circa 106.25.Technical indicators suggest that the same bearish sentiment is likely to guide the rate in this session, as well. Thus, the ultimate low for today should be set near the 105.90 level where the 100– and 200-hour moving averages are located. Meanwhile, a possible downside target for the first part of next week should be 105.00.
In case bulls nevertheless take the upper hand in the market, gains are unlikely to surpass 106.75 where a six-week channel is located.
Hourly Chart
After hitting the upper boundary of a dominant channel, the rate began to decline. However, this decline might encounter a support set by the weekly R1 at 106.05.
Daily chart
SWFX traders are still on the long side, as 70% of open positions were bullish during the morning hours. Moreover, trader set up orders remain bullish, as 66% of trader set up orders were to buy the US Dollar in favour to the Japanese Yen.
Meanwhile, the market sentiment of OANDA traders remains strongly bullish with 68% long positions. In addition, Saxo bank traders are 59% bullish in regards to this pair.
Spreads (avg, pip) / Trading volume / Volatility