USD/JPY recovers from 200-day SMA 


Pair’s Outlook
Unless USD/JPY manages to gain a foothold above the major rising trend-line (in force since the beginning of 2013) that it has recently breached, the pair will be seen as bearish in the long term. However, for the time being the exchange rate is well-supported by the 200-day SMA, which could help it pass through a wide but at the same time dense supply zone between 102.19 and 102.63, created among others by the monthly PP and 55 and 100-day SMAs.


Traders’ Sentiment
While the distribution between the bullish (71%) and bearish (29%) market participants is exactly the same as last Friday, there was a large drop in the amount of buy orders, specifically from 72% to 56% 50 pips from the spot.


Source: DukascopyBankSA

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