USD/JPY approaches 2014 Q2 high

Since the July peak is now out of the way, just as the monthly R1, there is only the 2014 Q2 high at 104.12 seen capable of preventing a re-test of 105.44—this year's highest point. At the same time the monthly technical studies confirm that the upward momentum is here to stay—four our of eight imply appreciation of the Dollar. In the meantime, the recently breached resistance at 103 should now act as a floor for the near-term dips.

There has been a major drop in the percentage of long positions held on USD/JPY since yesterday's update—it has plunged from 75 down to 59%. But at the same time there are less sell orders—their portion declined from 63 to 58%.