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 decline of the US Dollar against the Japanese Yen might look for support in the combination of the 50 and 100-hour simple moving averages near 137.00. Further below, take into account the 136.50 level, the 200-hour SMA near 136.30 and the weekly simple pivot point at 136.18.
Meanwhile, a potential move above 137.85 and the 138.00 mark could encounter resistance immediately in the weekly R1 simple pivot point at 138.22.
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
Prior to the CPI and Fed rate hike, on the Swiss Foreign Exchange, traders were 60% 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 56% to buy the USD against the JPY.