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"We are watching these moves, but this is not about intervention, and I don't think we have to respond immediately. The moves in the market are rough."
- Finance Minister Taro Aso (based on The New York Times)
Pair's Outlook
Pair unsuccessfully tested Fibo 38.2% (November, 2012, till May, 2013, move) few times last week and at the moment it seems that pair might gave received a bullish impetus from it. In such case pair should breach 97 JPY area in order to eliminate downside pressure (as indicated by the short term technicals). In case Fibo 38.2% fails pair is likely dip to 92.3 JPY.
Traders' Sentiment
Trader's remain strongly bullish on USD/JPY. Long positions account for 71% of all open positions on the pair at the moment. It is highly likely we will continue to see bull dominated market in the future since 59% of all pending orders are to go long on the pair as well.
© Dukascopy Bank SA