USD/JPY contained by 102.35/10
Pair’s Outlook
As suspected, USD/JPY failed to gain a foothold above 102.35/10, which is a necessary condition for the long-term sustainable recovery. But at the same time the currency pair is currently well-supported (mainly by the 200-day SMA and 50% Fibo), meaning the outlook will remain neutral until one of the key levels finally gives in. Meanwhile, the banks’ forecasts imply that eventually the bulls are going to overpower the bears and drive the price higher.
Traders’ Sentiment
Despite the recent failures of USD/JPY, the SWFX market (75% of traders) stays persuaded that the buck will gain value relative to the Japanese Yen. Additionally, there is a substantial advantage of buy orders (62%) over the sell ones (38%).
Source: DukascopyBankSA
