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– IG Securities (based on Reuters)
Pair's Outlook
Even though the USD/JPY currency pair edged lower on Tuesday, the losses were not as harsh as was first anticipated. Wednesday, however, brings a lot of uncertainty, as the US President-Elect is scheduled to speak today. His speech could have a significant impact on the US Dollar's performance. We expect the Buck to strengthen and climb over the monthly PP, which rests at 116.20. Technical indicators also suggest the Greenback is to edge higher today. The overall ceiling is expected to be the 117.00 mark, where the 20-day SMA coincides with the weekly PP, making that area a rather strong resistance.
Traders' Sentiment
There are now 53% of traders with a positive outlook towards the US Dollar, compared to 52% on Tuesday. At the same time, the number of orders to acquire the Buck inched up from 53 to 55%.
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