Opened with a small gap higher at Y77.02 after highs of Y77.01 and a close of Y76.97 in NY. The rally following Friday’s late announcement from S&P of 9 EU nation downgrades continued in early trade with a spike up to Y77.14 before heavy EUR/JPY sales led a sharp move back down through Y77.00 to Y76.81, before encountering Japanese importer
demand. Further bids are layered down to Y76.50 where there is rumored semi-official demand. Exporter offers remain towards Y77.20 and are layered higher. EUR/JPY fell back sharply from highs of Y97.62 through the Friday NY lows of Y97.20 to Y97.04, stalling just ahead of reported barriers at Y97.00 and massive stops set on a break of the level. There
is talk now of further barriers every 50 pips down to Y95.00. AUD/JPY also came under attack in Tokyo with a sharp fall from Y79.48 to Y78.80 before a weak recovery back to Y79.01. GBP/JPY eased to Y117.49 from early highs of Y117.95.
EasyForexNews Research Team