Economic Calendar
The US Consumer Price Inflation data is set to be published on Tuesday at 13:30 GMT. The inflation is set to reveal whether the Federal Reserve is successful in its policy at reducing inflation.
On Wednesday, the top event of them all will take place. At 19:00 GMT, the US Federal Reserve will release its Federal Open Market Committee Statement and Economic Projections. The central bank is expected to hike its base interest rate from 4.00% up to 4.50%.
On Thursday, at 13:30 GMT, the US Retails Sales data and Empire State Manufacturing Index might cause an adjustment in the value of the US Dollar.
The week will end with the publication of Markit Services and Manufacturing sector Purchasing Managers Index survey data at 14:45 GMT.
Hourly Chart
A resumption of the decline might pass below 136.00 and the weekly simple pivot point at 135.93 and look for support in round price levels like the 135.50 and 135.00.
On the other hand, a surge above 136.50 and the three hourly simple moving averages would face resistance in the 137.00 and 137.50 level, before testing the Wednesday's high level range at 137.70/137.85.
USD/JPY daily chart's review
On the daily candle chart, the pair has retraced from the 134.00 level up to the resistance of the 200-day simple moving average at 137.40. The SMA is acting as resistance.Daily chart
On Friday, on the Swiss Foreign Exchange, traders were 58% 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 55% to buy the USD against the JPY.
On Monday, the sentiment was 60% short and orders were 59% to sell.