USD/JPY plunges from 102.11

In order to reinstate itself as a bullish pair USD/JPY had to close above the up-trend and 100-day SMA. Since this was not the case and 102.11 was confirmed as a new resistance level, there are good reasons to suspect that 101.27/20 could soon be breached. Then we will be looking at 100.84/76 as the next target. On the other hand, the monthly technical indicators are mostly pointing upwards, suggesting not everything is lost for the bulls.

The share of long positions stands still at 73%, implying the market is strongly convinced that the greenback is going to appreciate relative to the Japanese Yen. A similar situation is with the orders 50 pips from the spot—71% are to buy and 29% are to sell the buck.