Next up is the US rate announcement on Wednesday. The rate could consolidated near 150.50 until the United States policymakers reveal their future plans in regards to the Dollar rates and with it demand for the USD.
Economic Calendar
All of the financial markets will be watching the US Federal Reserve Federal Funds Rate publication on Wednesday at 20:00 GMT. Note the time difference in the release, compared to the usual. The US has already switched to summer daylights savings time.
On Thursday, the US Services and Manufacturing sector Purchasing Managers Indices might impact the financial markets. However, recent releases of the data had minor impact.
USD/JPY hourly chart analysis
From a technical perspective, the surge has found resistance in the February high level range at 150.60/150.90. Note that the range is strengthened by the weekly R2 simple pivot point at 150.89. These levels are expected to keep the rate down.If the US Dollar declines against the Japanese Yen, the 150.00 mark and the weekly R1 simple pivot point at 149.94. Further below, the 149.50 has shown to be capable of acting as support and resistance.
Hourly Chart
USD/JPY daily chart's review
On the daily candle chart, it can be observed that the rate is approaching the 2024 high level at 150.95. Meanwhile, the 50-day simple moving average has acted as support since Friday.Daily chart
Read More: Technical Analysis
Traders are long
Before the Federal Reserve events, trader open position volume showed that Dukascopy traders were 63% long.
Meanwhile, pending orders in the 100-point range around the rate were 65% to sell the USD/JPY.