Dollar-yen closed in NY at Y96.02 after recovering off a NY pullback low of Y95.71, with this recovery turning lower again into early Asia, pressing down to Y95.74 before fresh demand emerged. Rate pushed up to Y96.10 before turning lower again, Japanese names noted sellers in this move as rate squeezed on to Y95.66. Recovery to Y95.85 met heavy Swiss name selling which pressed rate down to Y95.59, but reported decent demand interest stacked into Y95.50, with macro also looking to pick up dips below Y95.50, prevented further slippage and allowed for a recovery to Y95.80 into Europe. Stops are reported through Y95.40-30, but if triggered expected to meet option linked demand placed ahead of barriers at Y95.20 and Y95.00. Resistance remains at Y95.00/10. Reports that one of the smaller opposition parties have objections to dep governor nominee Nakaso, following on from Tuesday’s objection by DPJ to Iwata, seen as minor stumbling blocks, with Abe’s nominations for the BOJ leadership expected to pass.
EasyForexNews Research Team