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- Sumitomo Mitsui Banking Corp. (based on Bloomberg)
Pair's Outlook
The US Dollar behaved according to expectations on Monday, having fallen back under the 102.00 major level. Overall, the USD/JPY currency pair has been trading in a down-trend for almost a year now, recently putting the descending channel's upper border to the test more frequently. With the resistance being strong, formed by the weekly and the monthly PPs, as well as the trend-line, the 20 and the 55-day SMAs, an upside development is unlikely. Instead, focus should be on the weekly S1 at 101.37, which is the only obstacle on the Greenback's path towards a tough support area around 100.60.
Traders' Sentiment
Bulls lost some numbers over the day, as they now take up 60% of the market, compared to 70% previously. As for the purchase orders, their share once again increased, namely from 29 to 51%.
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