During Monday's trading, the USD/JPY broke the resistance of the 100-hour simple moving average and the weekly simple pivot point near 110.30. However, it did not result in an extended surge, as the currency exchange rate began to fluctuate sideways in the 110.30/110.50 range.
Economic Calendar
On Tuesday, the US Consumer Price Index at 12:30 GMT is expected to impact all USD traded assets and currency pairs.
On Wednesday, the US Producers Price Index at 12:30 GMT will impact the USD.
On Thursday, the weekly US Unemployment Claims could cause minor USD moves.
The week will end with the US Retail Sales data at 12:30 GMT.
In addition, note that the Bank of Japan is set to make a Policy Statement on Friday. However, the bank does not set a time for the event.
Click on the link below to find out more about the data releases of this and other currency exchange rates.
USD/JPY short-term review
If the rate ends the sideways trading by surging, it would encounter resistance near 110.65 where the 200-hour simple moving average was located at. Above it, a zone below the 110.80 mark could provide resistance, as it had done previously in July.On the other hand, a potential decline would find immediate support in the weekly simple pivot point at 110.29 and the 55 and 100-hour simple moving averages near 110.20. Below them, the rate could find support in the 110.00 mark.
Hourly Chart
USD/JPY daily chart's review
On the daily candle chart, the rate has broken the channel up pattern, which guided it since April. Moreover, the pair passed the support of a 61.80% Fibonacci retracement level at 110.05.In the meantime, note that the 55 and 100-day simple moving averages could provide the rate with support at 109.73 and 109.23.
Daily chart
On Monday, traders on the Swiss Foreign Exchange were 70% short on the USD/JPY currency pair.
On Tuesday, the open position volume was 72% short.
On Tuesday, SWFX traders set up pending orders in the 100-pip range around the rate were 51% to buy.