USD/JPY and EUR/JPY have done little after the pre-Tokyo to-do when USD/JPY broke down to 115.40 and the cross shot up to 152.40/45. Both pairs have backtracked with USD/JPY rising to 115.82 and the cross down to the 151.80-90 area. USD/JPY has since come back off but remains well off its lows, a level seen to be jam-packed with bids from a variety of players.
Offers remain heavy towards 116.00, a level where specs look to put on fresh shorts. EUR/JPY, for its part, is holding in a 10-tick range both sides of 152.00. The downside looks well-supported at 151.75, the New York and London high Friday and where stops above were tripped on the way up earlier (stops were tripped above presumed option barriers at 152.00 as well).
Topside resistance is eyed at 152.40-45 and then around 152.75, the latter the top of the 1% moving average envelope. USD/JPY currently trades 115.69/72, EUR/JPY 151.94/98. Dealers in Tokyo seem to be awaiting direction from Europe later today as well as comments from BoJ Governor Fukui early this evening.
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