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"Today's move on the long end feels a little bit like position-squaring in front of a major event."
- Samson Capital Advisors (based on CNBC)
Pair's Outlook
On Monday, USD/JPY slumped by piercing the weekly PP. However, the 55-day SMA appears to have stopped further decline, proving to be a considerably strong support. Technical studies suggest that the Greenback is likely to rebound versus the Yen and maintain the bullish momentum for the whole week. The closest resistance in face of the weekly R1 is rather weak, so the Buck is likely to meet resistance at a cluster of important levels around 120.10.
Traders' Sentiment
The bullish side of the SWFX marketplace has gained three percentage points during the last 24 hours, and it is now at 63%. Although not as high as yesterday, but the number of orders to acquire the US Dollar remains bullish at 59%.
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