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"Victory for Tokyo's Olympics bid is seen as helping to renew faith in Abe and his efforts to reflate the economy. That's weighing on the yen."
- Wellington at Bank of New Zealand Ltd. (based on Bloomberg)
Pair's Outlook
Pair has advanced to and failed at 100 JPY 4 times already. It has lost 50 pips already today. A solid close above the 100 JPY would negate most of this uncertainty and we could expect it to reach 101 and 102 JPY levels in no time. Failure at 100 JPY could send the pair below the 99 JPY, but it doesn't seem it would stay there for long.
Traders' Sentiment
Situation in the market remains rather similar. Although sentiment is noticeably less bullish than recently, long traders control clear majority (63%) of outstanding positions. Similar share (64%) of pending orders are in favour of the bulls as well.
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