The US dollar fluctuated in a narrow bullish range during the Asian session to see its rebound for the second session in a row since its May 14 low against the Japanese Yen amid tight economic data on the Japanese economy, the third largest economy in the world and on the eve of economic developments and data expected today Thursday by the US economy, the world's largest economy.
At 05:55 GMT, the pair rose 0.11% to 109.71, compared to the opening levels of 109.59, after reaching a high of 109.73, while the lowest level at 109.48.
Investors are currently waiting for the US economy to release the second GDP reading, which may reflect the world's largest economy expanded 3.1% in the first quarter compared to the previous preliminary reading of 3.2%, while the second reading of GDP may show stabilization of growth At 0.9%, unchanged from the previous reading.
This comes in conjunction with the reading of the index of requests for aid for the week ending May 25, which may reflect a rise of 5 thousand applications to 216 thousand applications compared to 211 thousand requests in the previous weekly reading, and the disclosure of the trade balance index of goods, which may show widening deficit To $ 72.0 billion compared to $ 71.4 billion in March.
And also in conjunction with the initial reading of the wholesale stocks index, which may show a rise of 0.2% against a 0.1% decline in March, before we witness the release of housing market data with the release of existing home sales, which may indicate a slowdown in growth to 0.9% versus 3.8% March, to the talk of Deputy Governor of the Federal Reserve and member of the Federal Open Market Committee Richard Clarda at the New York Economic Club.
Technical Analysis
Yesterday, the USD / JPY pair traded with positive momentum to breach 109.44 and move above it again, but it faces SMA 50, which is a continuous negative pressure against the price, which protects the suggested bearish correction scenario in our recent reports, awaiting the resumption of the bearish trend at the next target. 108.80.
Stochastic supports expectations for the downside, while noting the importance of stability below 110.08 for the continuation of the suggested bearish wave.
The trading range for today is among the key support at 108.80 and resistance at 110.00
The general trend for today is bearish