Yesterday the USDJPY hit a low of 154.90 yen at around GMT 02:00 before turning higher. Concerns over Japan's deteriorating fiscal position, combined with caution following a strong earthquake off the coast of Aomori Prefecture, accelerated yen selling. The pair reached a high of 155.98 yen shortly after GMT 15:30, and trading for the day closed at 155.91 yen.

Today the USDJPY reached a high of 156.03 yen at around GMT 01:00 before pulling back, finding support at 155.74 yen around GMT 02:00. As of GMT 05:00, the pair is once again approaching the 156-yen range.

Looking at the 1-hour chart of the USDJPY (as of GMT 05:00 on December 9), momentum on this timeframe is shifting to the upside. If the pair breaks above 156 yen and extends higher, a more definitive bullish stance is likely to emerge.

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

The main economic indicators for today are as follows:

• U.S. Federal Open Market Committee (FOMC) Day 1
• GMT 15:00 U.S. October JOLTS Job Openings
• GMT 15:00 U.S. September Leading Index