Fundamental OverviewThe USD has been strongerthis week, but the tailwinds have been coming from outside the US. In fact, thegreenback’s strength has been coming mostly from USDJPY flows and the weaknessfrom other currencies like the EUR with the French political uncertainty andthe NZD with the RBNZ’s 50 bps cut. Domestically, nothing haschanged for the US dollar as the US government shutdown continues to delay manykey US economic reports. The dollar “repricing trade” needs strong US data tokeep going, especially on the labour market side, so any hiccup on that frontis likely to keep weighing on the greenback. In the absence of thegovernment data, an October rate cut is now seen as a done deal. The reality isthat an October cut was never really in question. It’s the December cut thatcould be priced out in case the data strengthens. We still have three NFP andtwo CPI reports before the December meeting. On the JPY side, thevictory of Takaichi over the weekend resulted in a big negative gap at the openfor the yen as traders priced in more expansionary fiscal policy and a delay torate hikes from the BoJ. The ball is now in the central bank’s court as traderswill be focused on BoJ’s forward guidance.USDJPYTechnical Analysis – Daily TimeframeOn the daily chart, we cansee that USDJPY is trading at the top trendline around the 153.00 handle. Thisis where we can expect the sellers to step in with a defined risk above thetrendline to position for a drop back into the 151.00 handle. The buyers, onthe other hand, will want to see the price breaking higher to keep pushing intothe 154.80 level next. USDJPY TechnicalAnalysis – 4 hour TimeframeOn the 4 hour chart, we cansee more clearly the price action at the trendline with some visibleconsolidation. The strong bullish momentum might stall here and lead to a deeperpullback, but we will need to see a change in the trend on the lower timeframe toconfirm that.USDJPY Technical Analysis – 1 hour TimeframeOn the 1 hour chart, we cansee that we have a minor support zone around the 152.30 level. This is where thebuyers will likely continue to step in with a defined risk below the support tokeep pushing into new highs. The sellers, on the other hand, will look for abreak lower to increase the bearish bets into the 151.00 handle next. The redlines define the average daily range for today.UpcomingCatalystsToday we have Fed Chair Powell speaking, while tomorrow weconclude the week with the University of Michigan Consumer Sentiment report. Watch the video below This article was written by Giuseppe Dellamotta at investinglive.com.