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- James Stanly, DailyFX (based on Business Recorder)
Pair's Outlook
The US Dollar put the 101.00 major level to the test on Wednesday, but closed trade above that area, registering a 62-pip loss. Another decline today is possible, as technical studies suggest, but the USD/JPY currency pair faces a strong support cluster around 100.70, represented by the 50% Fibo and the weekly S1. This cluster is likely to limit the losses if those occur, but it should also indicate that a rebound is due. However, no substantial gains are expected, with the ceiling being the 102.00 mark, unless the nearest resistance, namely the weekly PP, at 101.76 succeeds in holding the gains first.
Traders' Sentiment
Slightly more traders now have a positive outlook towards the US Dollar today, namely 62% (previously 59%). At the same time, the number of orders to sell the Buck increased from 46 to 69%.
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