On Thursday, the USD/JPY currency pair tried to exceed the resistance provided by the 55-hour SMA.
If the given resistance holds, it is likely that some downside potential could prevail.
Economic Calendar
In regards to the USD/JPY during next week, there are a couple of scheduled macroeconomic data releases that could impact the currency exchange rate.
On Tuesday, the US Flash Manufacturing PMI survey results will be released at 13:45 GMT.
On Thursday, macroeconomic data set release from the US could impact the market. The US Durable Goods Orders, Final GDP and Unemployment Claims data are set to be published at 12:30 GMT.
Take a look at all of the historical reaction tables by clicking on the link below.
USD/JPY short-term daily review
On Thursday, the USD/JPY currency pair tried to breach the resistance provided by the 55-hour SMA. During today's morning, the pair continued to test the given resistance.If the predetermined moving average holds, it is likely that some downside potential could prevail in the market. Note that the nearest support level—the monthly S1, is located at 106.56.
Otherwise, it is likely that bulls could prevail in the market. Meanwhile, it is unlikely that the exchange rate could exceed the 100– and 200-hour SMAs in the 107.20 area.
Hourly Chart
On the daily candle chart, it was previously noted that the passed daily simple moving averages could start to provide technical resistance.
Meanwhile, note that the rate has gained support from the monthly S1 at 106.56.
Daily chart
Read More: Technical Analysis
Traders continue to short USD/JPY
On Thursday, on the Swiss Foreign Exchange 54% of open position volume was in short position.
On Friday, the sentiment was 54% short.
Meanwhile, 59% of set up pending trade orders in a 100-pip range around the exchange rate were set to buy.