The USD/JPY currency pair continues to trade below the monthly PP at 106.09.
Note that the pair could gain support from the 100- and 200-hour SMAs and trade sideways in the short run.
Economic Calendar
The first week of August is going to be relatively busy on the economic calendar.
On Wednesday, the US ADP Non-Farm Employment Change data is set to be issued at 12:15 GMT. Additionally, the US ISM Non-Manufacturing PMI survey results are set to be published at 14:00 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 Tuesday, the USD/JPY currency pair failed to exceed the monthly PP at 106.09. During today's morning, the pair was testing the support from the 100– and 200-hour SMAs near 105.50.If the given support holds it is likely that the exchange rate could trade upwards in the short run. Meanwhile, if the predetermined resistance holds, it is likely that the rate could consolidate.
On the other hand, note that the currency pair is pressured by the 55-hour SMA near 105.90. Thus, it is likely that the pair could go downwards in the short term.
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 Wednesday, on the Swiss Foreign Exchange 57% of open position volume was in long positions.
Meanwhile, trader set up pending orders in the 100-pip range were 74% to buy.