© Dukascopy Bank
"The BOJ can provide as much money as it wants, but that won't help end deflation"
- Mizuho Securities Research & Consulting (based on Reuters)
пЃ® Industry outlook
A cluster of supports at 77.12/16 is formed by 55 and 100 day moving averages and has already proved to be rather reliable. Therefore the focus is on the upside, as USD/JPY targets 78.66 en route to 80.12, the 55 week ma.
пЃ® Traders' sentiment
The largest part of FX market participants, being 58.99% of all liquidity consumers, is bearish on USD/JPY and holds shorts. On the other hand, 41.01% of them anticipate the pair to surge and keep long trades opened.
пЃ® Long position opened
The initial resistance level for the pair is 77.78. If the price continues increasing, the investors will hold longs until the pair climbs up to 77.92 or 78.07.
пЃ® Short position opened
Major market participants with short positions will hold their deals until the price slides down to the initial support level at 77.49. If the price continues the downtrend, the dealers might wait for the price to depreciate down to 77.34 or 77.20.
© Dukascopy Bank