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- IG Securities (based on Reuters)
Pair's Outlook
The Greenback managed to prolong its short-term bullish trend against the Japanese Yen yesterday, but unable to reclaim the 107.00 major level. Today technical indicators retain bullish signals, implying that more bullish momentum could follow; however, weekly studies now suggest that the USD/JPY currency pair could undergo the anticipated decline, causing a drop towards 106.00. A successful breach of the immediate resistance, represented by the weekly R1 and the Bollinger band, is to open the door for a rally towards the 100-day SMA at 108.34, which in turn is the final obstacle on the way to the six-month down-trend.
Traders' Sentiment
Market sentiment is now equally divided between bulls and bears, whereas the portion of buy orders inched higher—from 54 to 55%.
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