© Dukascopy Bank SA
- Itaú BBA (based on MarketWatch)
Pair's Outlook
A seemingly reliable support, consisting of the monthly PP and the 2013 highs, failed to keep USD/JPY afloat and let the sell-off to push the price through 104.29/00. As a result, the 55-day was also violated, but we still have the weekly and monthly S1 levels at 103.26/102.78, which may prove to be capable of halting the decline and restoring the bullish bias.
Traders' Sentiment
After a USD/JPY's plunge yesterday, there are now significantly less market participants who believe the U.S. Dollar will fall even lower—52%, meaning the sentiment is currently neutral. Meanwhile, a substantial majority (68%) of pending orders are to purchase the buck against the Yen.
© Dukascopy Bank SA