"The rise in Treasury yields is supporting the dollar. It appears that speculative buying of Treasuries has run its course, with Trump concerns and geopolitical risks no longer fresh news."
– Daiwa Securities (based on Reuters)
Pair's Outlook
The USD/JPY pair edged higher yesterday, but managed to overperform, as it breached the immediate resistance area. As a result, the US Dollar is now likely to keep appreciating against the Yen, even though technical indicators are unable to confirm that. The nearest area to limit the gains now rests around 112.60, represented by the monthly R1, the 20 and the 100-day SMAs, but the Buck could experience trouble reaching that far up. Technical indicators in the daily timeframe, however, are unable to confirm the possibility of the positive outcome, but in the longer timeframes they do suggest the Greenback is to keep climbing higher.
Traders' Sentiment
There are 55% of traders holding short positions (previously 60%), while the share of buy orders remains unchanged at 55%.
| Sentiment | Today | Yesterday | 5 days ago | |
| Positions | -10% | -20% | -14% | |
| Orders | 10% | 10% | 18% | |
| Indicator | 1D | 1W | 1MN | |
| MACD (12; 26; 9) | Buy | Buy | Buy | |
| RSI (14) | Neutral | Neutral | Neutral | |
| Stochastic (5; 3; 3) | Sell | Sell | Sell | |
| ADX (14) | Neutral | Neutral | Neutral | |
| CCI (14) | Neutral | Neutral | Neutral | |
| AROON (14) | Buy | Buy | Buy | |
| Alligator (13; 8; 5) | Neutral | Neutral | Buy | |
| SAR (0.02; 0.2) | Sell | Buy | Buy | |
| Aggregate | → | ↗ | ↗ | |