USD/JPY: Heavy offers 97.60/75 cap for now
- Yellen appointment helped USD and risk-trades sending USD/JPY higher;
- Budget impasse still a worry and it’s still too risky in my view to contemplate medium-term USD longs;
- EUR/JPY feels to me that it could be in for a 300/500 pip dip and I’m looking to sell any rallies 132.20/50 for a test of 128.00.
Plenty of intraday bids 97.00/10 and sellers between 97.60/75 should ensure range trading for much of the Asian session.