© Dukascopy Bank SA
"The U.S. is becoming somewhat more dependent on what's going on in the rest of the world. For Fed policy makers, the U.S. is becoming much more closely integrated with the global economy."
- Citigroup Inc. (based on Bloomberg)
Pair's Outlook
Pair started the week in a calm fashion, but it was evident that 20-day SMA is causing some turbulence. At the end pair dipped below it, but found support with the weekly PP. Pair should bounce from it as it maintains mildly bullish stance and sentiment, but 20-day SMA is nearest resistance the pair should breach in order to put 100 JPY on the map. Unexpected dip below 98.6 JOY could cause the pair to trail to mid to end August support line at 97 JPY.
Traders' Sentiment
Situation in the market remains exactly the same as in the end of the last week—61% of traders are holding long positions on the pair; 65% of all pending orders are set in favour of the bulls as well.
© Dukascopy Bank SA