Economic Calendar
Watch out for the incoming release of the European, UK and US Manufacturing and Services Purchasing Managers Index survey results throughout Tuesday. The data will be released from 08:15 up to 14:45 GMT.
On Thursday, the US Advance GDP data is set to reveal whether the United States are or are not experiencing a decline in the Gross Domestic Product at 13:30 GMT. The Advance GDP is the first data set that reveals how the economy has done in the last quarter.
The week will end with the publication of the US Core PCE Price Index. This index is the one being used by the US Federal Reserve to measure the impact of inflation on the consumers. It is seen by some as more important than the CPI. The release is scheduled for 13:30 GMT.
Hourly Chart
A move of the US Dollar against the Japanese Yen above the 50-hour simple moving average near 128.80 and the 129.00 mark could encounter resistance in the weekly simple pivot point at 129.39 and the 129.50 level. Higher above, take into account the combination of the 200-hour simple moving average and the 130.00 mark.
Meanwhile, a potential decline below 128.00 is highly likely going to look for support in the January low level zone at 127.22/127.45. Below the zone, note the 127.00 and 126.50 levels.
USD/JPY daily chart's review
On the daily candle chart, the pair is approaching the support zone of the May and June low levels at 126.35/126.95. Further below, the 125.00 mark might act as support.On the other hand, a recovery of the pair finds resistance not only in the 130.00 mark, but also the support and resistance zone at 130.50/131.40.
Daily chart
After the PPI release, on the Swiss Foreign Exchange, traders were 50% short and long, as that amount of open position volume was in short and long positions.
Meanwhile, trader set up pending orders in the 100-pip range around the rate were 54% to sell the USD against the JPY.