© Dukascopy Bank SA
"We see a long tail at the bottom of the candle stick chart. It would suggest that a dollar rebound is likely from here"
- Forecast (based on Bloomberg)
Pair's Outlook
USD/JPY is still wary of going lower, as demonstrated by the pair's earlier performance, when it quickly retreated after falling below 77.40, which withstood downward pressure, but has been substantially weakened. Therefore the present dip may be extended down to 76.89/79, though should be worn down or terminated by this support area.
Traders' Sentiment
The pair is overbought despite its constant attempts to breach supports, as currently 72% of the opened positions are long, whereas only 28% are in favour of the Japanese Yen. Orders placed on the currency pair also uphold bullish outlook, since 61% of them are buy orders.
© Dukascopy Bank SA