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"The dollar bounced on underlying demand rather than on a set of factors. The Fed may have to delay hiking rates, but it is still on track to tighten policy when its peers are stuck in quantitative easing."
- Barclays (based on CNBC)
Pair's Outlook
Yesterday, US Dollar advanced versus Yen for the second day, exceeding Monday's rally. The Greenback's performance erased all the losses suffered in the past two weeks, as none of the resistances had the capacity to stop the pair from advancing. Moreover, the 120 barrier was overcome, and the Buck settled at 120.28. However, the Yen is expected to strengthen against the Dollar today, and the 120 level is likely to be pierced again, but to the downside. The pair should stabilise around 119.60 by the end of the day.
Traders' Sentiment
Bullish market sentiment among SWFX traders strengthened. Now 72% of all positions are long (previously 70%). The number of buy orders edged up as well, now accounting for 61% of the market.
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