© Dukascopy Bank SA
"The Japanese yen remained under pressure in the wake of a recent rise in U.S. Treasury yields and expectations the Bank of Japan will move faster than the Federal Reserve to further ease monetary policy"
- MarketWatch
Pair's Outlook
USD/JPY is slowly but constantly eroding an area at 79.19/51, violation of which will pave the way towards 80.87/81.04. However, we may expect the pair to linger around the current levels due to presumably large amount of supply located nearby. Nevertheless, after a temporary pause the recovery should resume with a support level at 78.71/64 remaining intact.
Traders' Sentiment
Three quarters of market participants hold long positions on USD/JPY, while merely 25% of traders expect the Japanese Yen to appreciate, since it is the least popular currency in the SWFX marketplace presently. Additionally, an overwhelming majority of orders (78%) is to buy the U.S. Dollar, thus confirming bullish sentiment of the market.
© Dukascopy Bank SA