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    USD/JPY risks falling to six-week low

    © Dukascopy Bank SA
    "The dollar is doing well against most currencies but the yen. Lower U.S. debt yields are one factor, impact from Bank of Japan governor Kuroda is another. It has become harder for the dollar to advance ever since he spoke out on the yen's weakness."
    - Monex (based on CNBC)

    Pair's Outlook
    The weekly PP caused the US Dollar to fall back down, reaching the lower Bollinger band. However, the USD/JPY closed trade not as low as anticipated, as it stabilised at 122.53, but failed to negate Monday's gains. Today the Greenback is expected to further weaken against the Yen, while technical indicators are bolstering the outcome with bearish signals. The 55-day SMA keeps acting as the immediate support, but it proved to be unreliable. As a result, the Buck is to fall towards the Bollinger band again, unless the Fed provides solid insight on the rate hike.

    Traders' Sentiment
    Bullish market sentiment returned to last Wednesday's level of 74%, whereas the number of purchase orders declined from 67 to 51%.

    © Dukascopy Bank SA

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