The resistance of the SMAs failed, as the USD/JPY sharply surged in the first hours of Tuesday's trading. The rate reached above the 104.00 mark and afterwards started to fluctuate sideways.
In the meantime, the rate has revealed a symmetrical triangle pattern, which could continue to guide the USD/JPY.
Economic Calendar
This week, data releases, which could impact the USD/JPY start on Thursday. At 13:30 GMT, the weekly US Unemployment Claims are set to be published. The rate has moved only from 3.6 to 8.7 pips.
On Friday, the US Services and Manufacturing PMIs could cause a notable adjustment in the USD value. The USD/JPY had moved from 3.0 to 28.6 pips on the release since August.
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
The USD/JPY currency pair has revealed a symmetrical triangle pattern.From a theoretical point of view, it is likely that the exchange rate could trade sideways within the predetermined pattern within the following trading session.
Meanwhile, note that the rate could gain support from the 55-, 100– and 200-hour SMAs, as well the weekly PP in the 103.80/103.94 range. Thus, a breakout north could occur, and the pair could target the weekly R1 at 104.35.
Hourly Chart
On the daily candle chart, the rate is trading near the 55-day simple moving average.
Meanwhile, take into account the 100-day simple moving average, the November high levels and the weekly R1 simple moving average. These levels are located from 104.58 to 104.75. The cluster of these levels could provide resistance in the case of the rate surging.
Daily chart
On Tuesday, on the Swiss Foreign Exchange around 53% of volume was in long positions.
At mid-day on Monday, the sentiment was 55% long.
Meanwhile, trader set up pending orders in the 100-pip range around the rate were 53% to sell.
Previously, the orders were 58% to buy.