Yesterday the USDJPY rose in the first half of the Tokyo session, but then came off in the second half and, at around GMT 06:00, fell below the low of Friday of last week.

It continued its decline, hitting a low of 156.28 slightly before GMT 07:00. Then it rebounded, temporarily recovering to the 157-yen range at around GMT 15:30.

Today the USDJPY trended downward in the morning session, hitting a low of 156.19 slightly before GMT 04:00. This was slightly below the low of the previous day.

Looking at the 1-hour chart of the USDJPY (as of GMT 05:15 on July 23), the middle line of the Bollinger Bands is falling steadily. Given that the price has dipped below the -2 standard deviation, this could be indicative of increased selling pressure.

(20-period Bollinger Band, showing ±1 and ±2 standard deviations)

Today's main economic indicators are as follows.

• GMT 14:00 U.S. July Richmond Fed manufacturing index
• GMT 14:00 U.S. June Existing home sales (seasonally adjusted annual rate)
• GMT 14:00 U.S. June Existing home sales (MoM)