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– Toshihiko Sakai, Mitsubishi UFJ Trust and Banking (based on Market Watch)
Pair's Outlook
Strong US fundamental data helped the Greenback negate most of Monday's losses yesterday, but with the four-week down-trend remaining intact. Consequently, the US Dollar is expected to suffer another loss today, reconfirming the bearish trend. The two closest supports are unlikely to limit the losses if too much selling occurs, however, the 112.59 mark is to be the bottom floor, which prevented the USD/JPY pair from declining on several occasions previously. Technical indicators are also in favour of the negative outcome, as they are giving bearish signals today.
Traders' Sentiment
Bulls are barely outnumbering the bears, as 51% of all open positions are long today (previously 53%). Meanwhile, the portion of purchase orders remains relatively the same, having fallen from 60 to 59%.
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