• USD/JPY strengthened on Monday as markets braced for U.S. inflation data and a throng of Federal Reserve speakers this week.
• A number of Federal Reserve officials are scheduled to speak this week, including Chair Jerome Powell on Thursday, providing ample insight into the outlook for interest rates.
• U.S. consumer price data is set to be released on Thursday, and a core reading above the forecasted 0.3% would likely lower the odds of a rate cut in December.
• A daily close above 23.6% fib will further improve the technical outlook, and open the possibility of a rally towards 155.50level.
• Immediate resistance is located at 154.73 (23.6%fib), any close above will push the pair towards 155.59 (Higher BB).
• Support is seen at 152.37 (38.2%fib) and break below could take the pair towards 151.39(Nov 6th low).
Recommendation: Good to buy around 153.50, with stop loss of 152.70 and target price of 155.50
