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– Danske Bank (based on FXStreet)
Pair's Outlook
Surprisingly, but the USD/JPY currency pair barely experienced any volatility on Friday, having retained its position below the 115.00 handle. The Greenback is now supported by a relatively strong demand area, represented by the weekly PP, the 55-day SMA and the monthly S1, however, the three-week bearish trend-line just above today's opening price appears to be much stronger. As a result, the given pair risks falling back to 113.00, where the weekly S1 and the lower Bollinger band are expected to limit the losses. Technical studies are also in favour of the negative outcome.
Traders' Sentiment
Bulls and bears broke out of equilibrium, as 52% of all open positions are now short and the remaining 48% are long. At the same time, the number of purchase orders slid from 53 to 51%.
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