USD/JPY has edged lower and last sits....>

DOLLAR-YEN: USD/JPY has edged lower and last sits at Y109.70, with Japanese

equities set to open higher. This comes after the rate added 52 pips & hit a

fresh 2019 high at Y109.89 on Friday. Worth mentioning the rate spiked almost 30

pips higher Friday as BBG reported that China is said to offer path to eliminate

U.S. trade imbalance. 

- Bulls initially look for retaking Friday's peak, which would allow them to

target the Dec 25 low (now resistance) at Y110.00. Conversely, bears look for a

fall through the 21-DMA at Y109.29 before attempting a move back below Friday's

low at Y109.06. 

- BoJ is widely expected to stay on hold, while delivering its MonPol decision

on Wednesday. Elsewhere, Japanese docket this week includes trade balance due

Wednesday, Nikkei m'fing PMI due Thursday & Tokyo CPI due Friday, as well as

usual BoJ Rinban ops.