USD/JPY nosedives beneath 102.90/78

Considering than none of the closest supports were capable of nullifying the downward impetus, USD/JPY could potentially descend even lower from here. It is especially likely if the currency pair fails to return back above 102.90/78 in the nearest future. Then we would look for the 200-day SMA and the monthly S2 at 100.30/99.82 to reverse the dip.

The overall sentiment of the SWFX market remains neutral towards USD/JPY—55% of traders hope to profit from a rise in the greenback's price and 45% expect the currency to lose its value. The distribution between the buy and sell orders is similar—56% to 44% respectively.