Economic Calendar
On Tuesday, the US Consumer Price Index and Core Price Index are set to impact the markets through the US Dollar's value adjusting to US rate hike expectations. Namely, too high inflation is set to strengthen the USD, as the markets would expect higher rate hikes.
On Wednesday, at 12:30 GMT, the US Producer Price Index and Core Producer Price Index data will also impact the US Dollar.
Additional data will be published on Thursday, as the US Retail Sales and Core Retail Sales are set to be released at 12:30 GMT.
Hourly Chart
An extension of the decline below 142.00 might look for support in the weekly R1 simple pivot point at 141.44 and the 200-hour SMA near 141.00. Further below, note the 140.50, 140.00 and 139.50 levels.
On the other hand, a resumption of the US Dollar's surge against the Japanese Yen is expected to find resistance in the 142.50 level and the combination of the 100-hour SMA and the weekly R2 simple pivot point at 142.75. Higher above, take into account the 143.50 level and the 50-hour simple moving average.
USD/JPY daily chart's review
On the daily candle chart, the pair clearly trades above the July high level zone. If the surge extends, the rate could eventually aim for the 1998 high level at 147.60.However, a potential extension of the pair's decline is expected to look for support in the 140.00 mark and the July high level zone at 138.60/139.40.
Daily chart
On Thursday, on the Swiss Foreign Exchange, traders were 62% 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 61% to buy the USD against the JPY.
On Friday, traders were 73% short and orders were 59% to buy. Traders had reopened their short positions, as the pair extended the decline.