Friday morning was characterised by a lack of distinctive movement for the USD/JPY pair, as the rate remained in a relatively small range. Nevertheless, strong US employment data mid-session put an upward pressure on the Dollar that resulted in a 65-pip jump against the Yen. The rate halted at the 200-hour SMA and remained stranded below the given line on Monday morning, as well. Technical indicators suggest that the rate should trade lower within the next 24 hours. This prediction is in line with a channel down pattern which has bounded the US Dollar since early July. No market shakers are expected in this session; thus, the most likely trading range for the given pair is between the 200-, 55– and 100-hour SMAs in the 110.80/40 area.
