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- Sumitomo Mitsui Banking (based on CNBC)
Pair's Outlook
While initially Friday seemed to be a positive day for the U.S. Dollar, in the end all the gains were erased, leaving one of the main supports exposed. Now the 15-month rising trend-line at 102 is fighting to keep USD/JPY afloat. An even though there are more potentially significant demand zones below, such as the 200-day SMA at 101.66/43, the chances that the greenback will appreciate in the long run will substantially decrease should it give in.
Traders' Sentiment
Most of the SWFX market participants expect the buck to outperform the Japanese Yen, being that 70.5% of positions are long. At the same time the share of buy orders is rapidly growing—50 pips from the spot they take up as much as 86% of the total.
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