Yesterday the USDJPY hit a low of 152.31 shortly after noon, then turned upward following the Bank of Japan's decision to hold interest rates steady, with yen weakness accelerating as expectations for additional rate hikes receded. The pair reached a high of 154.45 shortly after GMT 13:00, and trading for the day closed at 154.06.

Today the USDJPY saw yen selling ease following Finance Minister Katayama's comments cautioning against yen weakness, hitting a low of 153.65 shortly after GMT 01:30 before rebounding. As of GMT 04:30, the pair is trading near 154.0.

Looking at the 1-hour chart of the USDJPY (as of GMT 04:40 on October 31), the upward move has paused and the Bollinger Band width has narrowed, but price is holding near the -1 standard deviation level. Whether the upward bias continues will likely depend on whether the pair can break above the 154.44 high.

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

The main economic indicators for today are as follows:

• GMT 13:45 U.S. October Chicago Purchasing Managers Index