© Dukascopy Bank SA
"We are unlikely to see much benefit to growth or to employment from further asset purchases"
- Charles Plosser, president of the Philadelphia Federal Reserve (based on MarketWatch)
Pair's Outlook
USD/JPY is cautiously testing 77.68/50, checking it for signs of presence of strong buying pressure, since the last time (Sept 13) it triggered an 88 pip long rally. In case this support is eroded, 77.25/18 should come in its place and prevent further extension of the dip we observe at the moment, although only a breach of an area at 76.02/75.57 will completely strip the pair from the potential of going higher.
Traders' Sentiment
The portion of bullish traders has increased even further, and now long positions constitute 73% of the market, while the share of bears amounts only to 27% of the total. Moreover, the ratio between buy and sell orders is 79% to 21%, respectively, thus reinforcing the dominant view.
© Dukascopy Bank SA