USD/JPY retreats

A rally above the 200-day SMA once again proved to be unsustainable, as a large portion of the gains were offset by the Friday's dip. However, the overall bias is to the upside, being that most of the technical indicators are still pointing North, especially on the monthly chart. The current target is the July high at 103, and the outlook will remain bullish as long as the long-term up-trend support line at 102 is beneath the spot.

Despite U.S. Dollar's failure to show robust recovery, 72% of open positions are currently long on the currency. Moreover, 64% of pending orders placed 100 pips from the spot are to acquire the Greenback against the Japanese Yen.