On Friday of last week the USDJPY fell to a low of 155.53, hit shortly after GMT 04:00, as selling pressure mounted amid the intensifying standoff between the Trump administration and U.S. private-sector companies, along with a decline in the President's approval ratings. It subsequently rebounded and traded sideways in the lower 156-yen range. Trading for the week closed at 156.05 yen.

Today the USDJPY has seen moderate dollar buying pressure amid the ongoing turmoil in the Middle East. The pair reached a high of 156.80 shortly after GMT 00:00 before pulling back, though as of GMT 05:00 it has recovered to the 156.6-yen range once again.

Looking at the 1-hour chart of the USDJPY (as of GMT 05:20 on March 2), the pair is closing in on the February 24 high of 156.82. A break above that level and through 157 would likely open the door to further upside.

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

The main economic indicators for today are as follows:

• GMT 14:45 U.S. February Manufacturing Purchasing Managers Index (PMI, revised)
• GMT 15:00 U.S. February ISM Manufacturing PMI