© Dukascopy Bank SA
"Unless the consumption tax is raised, the government's fiscal situation will get tighter, interest rates will increase and the yen will strengthen."
- Shinkin Asset Management Co. (based on Bloomberg)
Pair's Outlook
USD/JPY slumped today in early trading session, though the bullish mood is likely to hold as the pair is trading above 55-day simple moving average. Thus, if the currency pair edges higher, 80.76/81 (100-day SMA; upper Bollinger band) is going to be the first target among bullish traders. 81.19 (R1 Weekly) and 81.52 (61.80% Fibo; R2 Monthly) are going to be the next targets if bulls to continue driving the pair.
Traders' Sentiment
Bullish sentiment on USD/JPY added strength as the ratio between bullish and bearish on USD/JPY is 75% and 25%, respectively. The distribution of orders placed on the currency pair remains unchanged: 62% of them are positions to acquire the Greenback and 38% of them are to sell the U.S. Dollar against the Japanese Yen.
© Dukascopy Bank SA