USD/JPY underpinned by 200-day SMA

As many of the supports have already given up, it is now 200-day SMA's task to revive a bullish momentum of USD/JPY. For now the moving average seems to be successful at keeping the exchange rate afloat. However, until we see a close above the dense cluster of resistances at 102.55/40, the mid-term outlook will not be bullish. We should not also forget about the 50% Fibo at 101.19, which has proven to be one of the key supports over the last few months.

The skew towards the long positions in the SWFX market is getting even more pronounced. At the moment three out of four traders believe the buck is going to increase in value relative to the Japanese Yen.