© Dukascopy Bank SA
"The stock market has become nervous about currency moves. It's not that we have outstanding factors to the market, but the market is becoming more volatile."
- Daiwa Securities Group Inc. (based on Bloomberg)
Pair's Outlook
Pair managed to slip slightly below 88 JPY mark, but at the moment is stuck between weekly PP and monthly R1 after receiving a bullish impetus from weekly S1/20-day SMA at 86.65. Market specialists stress out the increased volatility of the pair. As a consequence we might see more and more choppy session in the future, but for the time being pair should remain in its upward sloping channel with recent high at 89.66 JOY being the next target.
Traders' Sentiment
Short traders continue to loose ground in the market. Their number decreased by additional 4% as they account for 53% of market participants. It is likely bulls will keep emerging further as 80% of pending orders on the pair are to go long.
© Dukascopy Bank SA