The US dollar fluctuated in a narrow range slipping towards the Asian session to see its fourth session retreat since May 31 against the Japanese Yen following developments and economic data that followed the Japanese economy, the third largest economy in the world and on the eve of economic developments and data expected today Friday by the US economy, the world's largest economy.
At 05:51 am GMT, the pair dropped 0.06% to 108.32 from the opening level at 108.38 after recording a low of 108.27 and a high of 108.40.
On the Japanese economy, the final reading of industrial production, which showed a stable growth of 0.6%, unchanged from the previous preliminary reading for April, is in line with expectations, compared with 0.6% decline in March, while reading The index itself was stable at 1.1% and 4.3%, while the energy utilization rate showed a rise of 1.6% against 0.4%.
On the other hand, investors are currently looking for the US economy to reveal a reading of retail sales, which accounts for about half of consumer spending, which accounts for more than two-thirds of US GDP, which could reflect a 0.7% gain versus a 0.2% fall in April, The core reading of the index itself accelerated to 0.5% from 0.1% in April.
This comes before we see the largest industrialized country in the world disclosure of industrial sector data for the month of May with the release of the index of industrial production, which may show a rise of 0.2% compared to a decline of 0.5% in April, while may show reading the index rate of exploitation Energy accelerated growth to 78.0% compared to 77.9% in April.
Leading to the release of the University of Michigan's consumer confidence index, which may reflect a widening of 98.1 versus 100 in May and consumer expectations of inflation for one year ahead and five years to come, Up 0.4% versus stability at zero levels in March.
Technical Analysis
USDJPY continues to fluctuate when supporting the bullish intraday channel, and the price needs to confirm a break of 108.30 to get a good negative incentive that strengthens the chances of resuming the main bearish trend, noting that the main targets start with breaking the 108.00 level to confirm the extension of the downside wave towards 106.75.
Therefore, the bearish trend will remain in the short and short term unless the level of 108.80 is broken and stability above it.
The trading range for today is expected among the key support at 107.50 and the resistance at 108.80.
The general trend for today is bearish.