© Dukascopy Bank SA
"It's perhaps more of end-of-the-week profit taking, given that narrowing interest-rate differentials do not justify a higher dollar-yen. During summer holidays, you may see a bit more volatile moves."
- ABN Amro Bank NV (based on Bloomberg Businessweek)
Pair's Outlook
From the recent (5 trading days) developments it seems that major level at 100 JPY is having more impact on the pair than any other technical level. Short term technicals continue to give bullish aggregate outlook, but to be on the fair side it is worth mentioning that quite a few individual technical levels give neutral outlook, medium term aggregate outlook is negative and the Stochastic indicator in the medium term predict the failure of the pair in upcoming weeks.
Traders' Sentiment
75% of market participants are long on the pair, but that comes hardly as a surprise as similar situation in the market has been for quite some time now. However, majority of pending orders, 54% of them, are set to buy the greenback against the yen again.
© Dukascopy Bank SA