© Dukascopy Bank SA
"Investors are liquidating their ‘short-the-yen, buy-Japanese-stocks' positions and becoming more neutral on the country's equities. Some investors are taking their summer breaks and the market lacks energy. It's likely to remain lackluster for a while."
- SMBC Nikko Securities Inc. (based on Bloomberg)
Pair's Outlook
Weekly S1/Fibo 38.2% (end of May till mid of June move) failed to provide enough support for the pair after it retested the mentioned level. As short term technicals suggests the pair is likely to continue appreciating before eventually picking up the pace again. 200-day SMA could be a good initial catalyst for a start of the rally, short term dips/sell off should not fall below it.
Traders' Sentiment
It seems that some of the pending bullish orders were triggered since yesterday since share of long positions increased by 3% till 74%. At the same time pending long orders decreased by 4% and is at 62% gauge.
© Dukascopy Bank SA