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"Over the past few days, the yen's excessive appreciation has slightly been corrected."
- Haruhiko Kuroda, Bank of Japan Governor (based on MarketWatch)
Pair's Outlook
In spite of the poor US inflation data yesterday, the USD/JPY currency pair remained relatively unchanged. The weekly PP and the monthly S2 keep providing immediate support for the pair around 109.90, while the nearest resistance is still represented by the monthly S1, the weekly R1 and the 20-day SMA circa 110.75. Even though technical indicators keep giving bearish signals, bulls are still expected to push the Greenback higher against the Yen today. The Buck has been appreciating ever since it rebounded from the 18-month low on Monday, making its way towards the ten-week down-trend around the 112.00 major level.
Traders' Sentiment
Bulls take up 72% of the market, compared to 74% previously. At the same time, the number of sell orders inched up from 51 to 65%.
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