Economic Calendar
During the week, almost all attention will be paid to the US Federal Reserve Federal Open Market Committee Meeting Minutes on Wednesday at 19:00 GMT.
The meeting minutes are a protocol of the central bank's committee, which decides US and, subsequently, global monetary policy. The document is set to reveal, what the committee talked about and detailed information about their future plans.
On Thursday, a minor USD move might be created by the publication of the weekly US Unemployment Claims data at 13:30 GMT.
Click on the link below to find out more about data releases of this and other currency exchange rates.
Hourly Chart
If the rate breaks the resistance of the 123.00 mark and the weekly simple pivot point at 123.01, there would be no resistance as high as the March 29 high levels at 124.20/124.31. However, the 123.50 and 124.00 levels might act as resistance and slow down a surge of the US Dollar against the Japanese Yen.
In the case of a decline, the rate would have to first pass below the 122.50 level. Below the 122.50 mark, the 122.00 and 121.50 levels might act as support, before the 121.20/121.40 low level zone is reached.
USD/JPY daily chart's review
On the daily candle chart, the rate appears to have consolidated the major gains of March, as it surged from levels near 115.00 up to 125.00, in less than a month. From the low level of March at 114.80 up to the high at 125.10 on March 27 there is a distance of 1031 base points or 8.98%.Daily chart
On Tuesday, on the Swiss Foreign Exchange, traders were short, as 74% of open position volume was in short positions.
Meanwhile, trader set up pending orders in the 100-pip range around the rate were 57% to sell the USD against the JPY.
On Monday, the open positions were still 72% short. However, the pending orders were just 51% to sell.