Yesterday the USDJPY reached a high of 152.89 shortly after GMT 09:00, but subsequently continued its yen-strengthening trend.

Following the release of the previous week's initial jobless claims data at GMT 13:30, showing poor results, the market reacted with selling. Around GMT 19:30 (on February 5), it touched a low of 151.23, and trading for the day closed at 151.35.

Today the USDJPY touched a low of 150.95 shortly after GMT 00:00, pressured by Bank of Japan rate hike speculation and caution ahead of the Japan-U.S. summit meeting. As of GMT 04:00, it has risen to the upper 151-yen range.

Looking at the 1-hour chart of the USDJPY (as of GMT 03:50 on February 7), while it has broken above -1 standard deviation, the middle line continues to trend downward. The downward trend appears likely to continue.

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

The main economic indicators for today are as follows:

• GMT 13:30 U.S. January Nonfarm payrolls
• GMT 13:30 U.S. January Unemployment rate
• GMT 13:30 U.S. January Average hourly earnings
• GMT 15:00 U.S. February Michigan Consumer Sentiment, preliminary