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- Takuya Kanda, senior researcher at Gaitame.com Research Institute (based on Market Watch)
Pair's Outlook
As was anticipated, the US Dollar successfully outperformed the Japanese currency on Monday, with trade closing in between the monthly R2 and the weekly R1 resistance cluster. Although there are some downside risks, technical indicators keep suggesting the USD/JPY continue edging higher today. The monthly R2 and the Bollinger band form a relatively strong demand area around the 108.00 yen level, while the weekly R1 at 108.70 remains a solid resistance. However, the pair is seen eventually reaching the 110.75 mark, namely where the weekly R2 coincides with the monthly R3.
Traders' Sentiment
There are only 54% of traders that have a positive outlook towards the US Dollar today, compared to 59% on Monday. Meanwhile, the portion of orders to sell the Greenback increased from 52 to 53%.
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