USD/JPY: Very difficult to trade, wait for big swings

USD/JPY is brutally hard to trade at the moment and best left alone in my view, unless of course you have the magic timing happening. The fundamental set-up looks bullish with rising US rates, tapering QE by the Fed, and Japanese expansionist monetary policy. But, the market is long and if risk sentiment turns sour again then the JPY will strengthen across the board.

I think its a case of sitting and waiting for some obvious risk-reward trades and I simply don’t see any at the moment.