No important events are expected today.

The world’s leading stock exchanges are trading quite sluggish, which signals about development of sideways trend in this currency pair, since USDJPY historically correlates with stock exchanges.

Since the Fed is not going to cut assets on its balance sheet next week, and the U.S. Treasury will only hold treasury bond auctions on December 30, we can expect the U.S. stock market to rise next week, which is favorable to USDJPY.

Recommendations: flat 132.20 -133.10.