© Dukascopy Bank
- Deutsche Bank (based on WSJ)
Industry outlook
In the short-term USD/JPY currency couple is expected to close above a resistance area at 79.93/80.25 and continue advancing toward 86.85, which is a long-term target. The initial support level is at 79.63/76, followed by 78.41 and 78.29.
Traders' sentiment
Being that the American Dollar is the most popular currency at the moment, traders' sentiment is bullish on USD/JPY. 82% of market participants have opened long positions, while only 18% of them stay short on the pair.
Long position opened
Largest brokers set a new long position target as a break of 80.56 is an encouraging bullish sign en route to 80.85. If the uptrend remains, the third target for intraday trading will be 81.29.
Short position opened
In case of dips, another rally may start after rebounding from the initial support level at 79.83. However, assuming that the bearish momentum does not weaken, investors will pay attention to the lower support levels at 79.39 and 79.10.
© Dukascopy Bank