Opened in early Europe at Y78.58 and Y96.32, USD/JPY opened in Asia at Y78.72 and lifted to Y78.81 on Japanese importer demand ahead of the Tokyo fix. Profit take sales eased, before a wave of cross selling added weight to print Y78.56 lows. Strong support seen on the downside with stops set on a break of Y78.40, through here opens techs at Y78.36 from the 76.4% of Jun rally, ahead of offical name bids into the Y78.25 barrier. EUR/JPY lifted to Y96.71, before heavy trade pressed to Y96.31. USD/JPY traded a very tight Y78.53-61 European range with very little action amid modest flows. EUR/JPY continued heavy and extended Asian losses to Y96.22, before a recovery in the crosses led the charge to Y96.49. Profit take sales later eased to Y96.30 with support seen at Y96.17/13 (16 Jul/19 Jun low), a break to strong demand at Y96.00 with stops set. Tight range trade expected to continue into NY with lack of data to drive markets.
EasyForexNews Research Team