• USD/JPY edged higher Monday as safe haven yen weakened slightly ahead of the Bank of Japan's monetary policy meeting this week.
• The BOJ is expected to keep rates unchanged at 0.5% when its two-day policy meeting ends on Wednesday, with attention turning to Governor Kazuo Ueda's press conference for any clues about the economic outlook.
• Concerns about a global slowdown triggered by U.S. President Donald Trump's tariff policies have been overshadowing Japan's wage and price data.
• Rengo announced on Friday that Japanese companies agreed to raise wages by over 5% for the second straight year. However, with a 5.46% preliminary reading, analysts see this as expected and not enough to prompt an early BOJ rate hike.
• Immediate resistance is located at 149.08 (38.2%fib), any close above will push the pair towards 150.05(Psychological level).
• Support is seen at 147.55(23.6%fib) and break below could take the pair towards 146.73(Lower BB ).
Recommendation: Good to sell around 148.90, with stop loss of 149.60 and target price of 148.00
