The US dollar fluctuated in a narrow range slipping towards the US session to see its rebound for the third session since July 17 against the Japanese Yen amid a lack of economic data by the Japanese economy and on the eve of developments and economic data expected Thursday by the US economy The world's largest economy.
At 06:03 GMT, the pair dropped 0.06% to 108.12 from the opening level at 108.19, after recording a low of 108.08 and a high of 108.24.
The markets are currently looking for the US economy to detect the Durable Goods Orders, which account for about half of consumer spending, which accounts for more than two-thirds of US gross domestic product, which could reflect a 0.8% rise from a 1.3% drop in May. The core reading of the index itself may show a slowdown in growth to 0.2% from 0.4% in May.
This comes in conjunction with the release of the trade balance of goods which may indicate that the deficit shrank to $ 72.4 billion from $ 74.5 billion in May and the initial reading of the Wholesale Inventories Index, which may reflect the acceleration of growth to 0.5% from 0.4% In addition to the reading of the index of claims for the week ending on the 20th of this month, which may reflect a rise of 4 thousand applications to 220 thousand applications.
The US dollar is the world's first reserve currency and in the long run the strength of the dollar reflects the strength of economic conditions within the United States, he said, adding that he does not support the dollar's short-term decline, adding that US President Donald Trump believes That inflationary pressures are very low in his country and that interest rates should be cut to match the rest of the world.
Technical Analysis
USD / JPY is trading above the 108.10 level, so the corrective corrective scenario remains valid for the coming period, supported by the move above SMA 50, awaiting a visit to 108.93 as a corrective correction.
Keep in mind that breaking 108.10 and trading below it again will put the price under negative pressure with its first key target at 106.78.
The trading range for today is expected among the key support at 107.60 and the resistance at 109.00
The general trend for today is bullish.