The US dollar rose during the US session to rebound to the second session of its lowest since June 26, while still the second consecutive weekly losses against the Japanese yen following developments and economic data that followed the Japanese economy, the third largest economy in the world and on the threshold Developments and economic data expected Friday by the US economy.
At 06:00 GMT, the USDJPY rose 0.32% to 107.64 compared to the opening levels at 107.30, after reaching the highest level at 107.68, while the lowest level at 107.22.
On the Japanese economy, the National Consumer Price Index (CPI) showed a stable growth of 0.7% in June, while the annual reading of the same index, excluding fresh food, showed a slowdown in growth to 0.6% In May, the annual reading of the index excluding energy and fresh food reflected growth stability at 0.5%.
On the other hand, investors are currently looking for the US economy to be the largest economy in the world to reveal the preliminary reading of the University of Michigan consumer confidence index for July, which may reflect a narrowing to 98.6 from 98.2 in June, with expectations Consumers for inflation for one year ahead and for the next five years.
This comes ahead of the Federal Open Market Committee meeting at the annual meeting of the Central Bank Research Association in New York, including St. Louis Federal Reserve Chairman James Pollard on technology and the future of the monetary and financial system, and Federal Reserve Bank Chairman Eric Rosengren, who will participate in a panel discussion On the independence of central banks.
Technical Analysis
The USD / JPY pair underwent a significant negative trading yesterday after retesting the broken neckline of the head and shoulders pattern shown in the image. The price is under continuous negative pressure coming from the SMA 50, so the bearish trend will remain intact during the coming sessions, targeting 106.78 mainly .
Stability below 108.10 is important for the continuation of the expected decline, as breaching it will lead the price to return to the upside correction and achieve positive targets starting at 108.93.
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