(Reminder) Holiday in Japan today. There has been no change over the New Year hiatus in the fundamental dynamics impacting the Yen – if anything the barrage of comments calling for a weaker Yen is intensifying. Nevertheless. the increased volatility is providing opportunities on both sides of the market – I’d only caution to use care being long Yen; to err on the side of taking some profits off the table. Don’t sit around to ‘let your profits run’ on long Yen trades, they may very well run away.
Topside:
- 87.90/88.10
- 87.25/30 (very close to here now – there is selling to be done through to 87.40)
Downside:
- 86.95/05 is initial support for the day, but stops are below here
- 86.70/75 some buying
- 86.50/60 is a support area, bids through to 86.45 and some stops below here
- 86.15/20 the next support
