USD/JPY bounces from monthly R1

USD/JPY bounces from monthly R1

'Dollar/yen looks vulnerable in the short-term, although its longer-term outlook is still for an attack on 100 over the coming year.' - Standard Bank (based on CNBC)

Pair's Outlook

Pair was posing for a major dip, but, the same as last week, it received bullish impetus from monthly R1 proving that 88.40 has become a strong support level for the pair. If events are to turn out any similarly we might expect a 2-3 day long rally to monthly R2 at 90.12. Such scenario is also predicted by daily and weekly technicals.

Traders' Sentiment

Market participants are becoming more bullish towards the pair. Share of long traders in the market increased by 4% since yesterday and they constitute for 58% of all market participants. Pending orders point at further domination of bulls in the market-73% of them are to go long.