The US dollar fell during the US session to witness a rebound to the third session of the highest since June 19 against the Japanese yen amid a lack of economic data by the Japanese economy, the third largest economy in the world and on the eve of developments and economic data expected Wednesday by the US economy largest economy In the world.
At 06:02 GMT, the greenback was down 0.19% to 107.68 from the opening level at 107.88 after recording a low of 107.53 and a high of 107.92.
Investors are currently waiting for the US economy to release preliminary data for the labor market with the reading of the index of change in private sector jobs, which may reflect the acceleration of job creation to 140 thousand jobs added to 27 thousand jobs added in May, Friday's release of the monthly report on non-agricultural jobs and unemployment rates in addition to the average hourly income for the last month.
This comes ahead of the June 29 reading of the Jobless Claims Index, which may reflect a drop of 7K to 220K. The ongoing Jobless Claims Index for the week ending 22 May may also show a decline of 7K To 1,681 thousand, with the release of the trade balance, which may reflect a widening deficit to $ 53.2 billion versus $ 50.8 billion in April.
Leading to the final reading of the index of the Institute of Supply Services by Markit for America, which may reflect the stability of the expansion at 50.7, not significantly changed from the initial reading and compared to 50.9 in May, before the disclosure of the index of the Institute of Supply Service, which may show a contraction of breadth to 56.1 compared to 56.9 in May, in conjunction with a factory demand reading, which may indicate a contraction of the decline to 0.4% versus 0.8% in April.
Technical Analysis
The USD/JPY pair traded with a strong negative yesterday to break the 107.95 level and return to the descending channel shown on the chart above, to stop the bullish correction that the price started recently and resume the main descending path on its way to visit the recent low at 106.78 as the first stop.
Therefore, the bearishness will be likely for today unless 108.10 is breached and a daily closing above it.
The trading range for today is expected among the support at 106.80 and the resistance at 108.10.
The general trend for today is bearish.