USD/JPY takes a break from a surge at 90.12

USD/JPY takes a break from a surge at 90.12

'We need a correction in the yen, although the mid- to long-term trend has probably shifted to its weakness.' - Mizuho Securities Co. (based on Bloomberg)

Pair's Outlook

Lately USD/JPY has been increasing its pace of advancement, but bullish candles started to alternate with considerably deeper troughs than before. The current fall is likely to be temporarily halted near the location of a previous peak at 89.40/17, while 88.56/37 is in a much safer position. The next targets for the pair may be found at 91.01/90.86 and 91.85, though the rally should not be anticipated to be steady.

Traders' Sentiment

Even though the portion of short positions has fallen, the advantage of bears, who constitute 58% of the market, over bulls (42% of the market) has been preserved. The situation with orders is rather different, since 66% of them are buy an 34% of them are sell.