© Dukascopy Bank SA
- Oanda Corp. (based on Bloomberg)
Pair's Outlook
As the key levels are still intact, the medium-term outlook remains mixed, although near-term risks are skewed to the upside. From one side, the currency pair is in the middle of forming a new bearish wave within a nine-month descending channel. A decline is also implied by the daily and monthly technical indicators. From the other side, a major demand zone between 100.70 and 100.00 stands its ground and suggests a rebound. However, as long as a falling resistance trend-line at 105 yen is above the price, prolonged recovery is unlikely.
Traders' Sentiment
Positioning in the SWFX market is in favour of a weaker Dollar, since there are significantly more bulls than there are bears—60 and 40% respectively. In the meantime, compared to the previous report the share of buy orders went up from 50 to 59%.
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