Fundamental view:

USD/JPY continuously fell in the last week. which makes quite a bit of sense as all the investors are concerned about the idea of risk appetite waning, meaning the people will be looking towards the Japanese yen. All things being equal, the US dollar continues to fall based upon Federal Reserve loosening, and I think that is a running theme.

Japan Revised Industrial Production on 16^th November created bullish atmosphere whereas Japan Prelim GDP Price Index yearly report & Prelim GDP quarterly report on 16^th November and US Core Retail Sales monthly report on 17^th October created bearish atmosphere.  

The major economic events deciding the movement of the pair in the next week are US Markit Manufacturing PMI at Nov 23, BoJ Governor Kuroda Speech, US CB Consumer Confidence Index at Nov 24, US GDP quarterly report, US Core Durable Goods Orders monthly report, US Initial Jobless Claims, FOMC Minutes at Nov 25, and Tokyo CPI yearly report at Nov 26.

USD/JPY Weekly outlook:

Technical View:

Last week’s high was 0.51% lower than the previous week. Maintaining high at 105.13 and low at 103.65 showed a movement of 148 pips.

In the upcoming week we expect USD/JPY to show a bearish trend. The currency pair is trading below the 200 Simple Moving Average and the MACD trades to the downside. A solid breakout below 103.27 may open a clean path towards 102.72 and may take a way down to 101.79. Should 104.75 prove to be unreliable resistance, the USDJPY may raise upwards 105.68 and 106.23 respectively.  In H4 chart pennant pattern breakout favors prospects of a bearish trend Along with a bullish spinning top formation braces our expectation.