Economic Calendar
On Monday, look out for the Markit Services and Manufacturing sector Purchasing managers Indices. The European release is set to occur from 07:15 up to 08:00 GMT. The UK data will be out at 08:30 GMT. US results will be published at 13:45 GMT.
On Tuesday, the Consumer Board Consumer Confidence survey results might impact the US Dollar's value.
On Thursday, the Euro will react to the European Central Bank's announcement of the Main Refinancing Rate and the follow up press conference. The publication of the rate and monetary policy statement is scheduled for 12:15 GMT. The press conference is scheduled for 12:45 GMT.
Meanwhile, between the ECB events, at 12:30 GMT the US Advance GDP is set to be published. The event will impact all US Dollar pairs.
On Friday, the US Core PCE Price Index is scheduled to be published at 12:30 GMT. This inflation measure is watched by the US Federal Reserve when setting their policy.
Hourly Chart
In general, the drop was caused by the government of Japan releasing a new long term plan. In the plan it was stated that the Bank of Japan should reach its price targets. Namely, the government is allowing the BoJ to increase the value of the Yen. The markets took in the news as a green light for the central bank to continue to intervene in the foreign exchange markets.
On Monday, the pair appeared to be stabilizing near the 149.00 level. However, for now, watch the news from the policymakers not the technical charts.
USD/JPY daily chart's review
On the daily candle chart, the patterns have been broken. However, the September high level zone appears to be acting as support.Daily chart
On Monday, on the Swiss Foreign Exchange, traders were 65% short as that amount of open position volume was in short positions.
Meanwhile, trader set up pending orders in the 100-pip range around the rate were 71% to sell the USD against the JPY.
On Friday, the positions were 73% short and pending orders were 54% to buy.