© Dukascopy Bank
"We like the idea of the U.S. dollar becoming stronger over the year. There is a divergence between the two economies, with the U.S. recovery and not quite as compelling a story in Japan"
- Westpac Banking Corp. (based on Bloomberg)
Industry outlook
Key support at 82.38/23 should withstand present bearish pressure in order for the pair to be able to recommence its advancement after correction is over. The initial resistance is situated at 83.02, followed by 83.98 and 84.51.
Traders' sentiment
USD/JPY remains overbought, since the amount of bullish market participants (72%) greatly exceeds the amount of bearish ones (28%).
Long position opened
FX market participants have put their take profit orders at the key resistance points of intraday trading. Some of the investors might close their deals at 83.22 and 83.91. The highest level is at 84.36.
Short position opened
Major market participants with short positions will hold their deals until the price slides down to the initial support level at 82.08. If the price continues the downtrend, the dealers might wait for the Greenback to depreciate down to 81.63 or 80.94.
© Dukascopy Bank