The USD/JPY currency pair skyrocketed to the monthly PP at 106.09.
If the given resistance holds, it is likely that the pair could consolidate in the short run.
Economic Calendar
The first week of August is going to be relatively busy on the economic calendar.
On Monday, the Institute for Supply Management is going to publish the US ISM Manufacturing PMI survey results at 14:00 GMT. Additionally, the US ISM Non-Manufacturing PMI survey results are set to be published on Wednesday at 14:00 GMT.
On Wednesday, the US ADP Non-Farm Employment Change data is set to be issued at 12:15 GMT.
On Thursday, the US Unemployment Claims data is going to be published at 12:30 GMT.
On Friday, the US Employment data set release could be in the spotlight. The release is scheduled to 12:30 GMT.
Click on the link below to find out more about the data releases.
USD/JPY short-term daily review
On Friday, the USD/JPY currency pair skyrocketed to 106.00. During today's morning, the pair tested the monthly PP at 106.09.Given that the exchange rate is pressured by the 200-hour SMA near 107.75, it is likely that some downside potential could prevail in the market. In this case the rate could decline to the Fibo 23.60% at 105.03.
Meanwhile, note that the currency pair could gain support from the weekly PP at 105.41. Thus, it is likely that the US Dollar could consolidate against the Japanese Yen in the short run.
Hourly Chart
On the daily candle chart, the rate continues to trade downwards, guided by the descending channel.
It is likely that the pair could gain support from the monthly S2 at 104.18.
Daily chart
On Monday, on the Swiss Foreign Exchange 56% of open position volume was in long positions.
Meanwhile, trader set up pending orders in the 100-pip range were 77% to buy.