USD/JPY closed the gap

As expected, the key supports were able to underpin the U.S. Dollar and help it close the bearish gap. However, the resistance zone at 98.49/25, formed by the 55 and 100-day SMAs together with the weekly PP, is not letting the bullish sentiment to be realised in full. Another obstacle USD/JPY will encounter on the way upwards is a cluster at 98.97/82, where the monthly pivot point merges with the weekly R1 and 20-day SMA.

After yesterday's rally of the Dollar against the Yen there are even more bulls than before—they now take up 73% of the market. At the same time the portion of buy orders dropped by a significant amount, from 80% to 63%.