- USD/JPY is still trading in a consolidative wedge pattern suggesting the next impulsive move will be higher;
- Yen crosses have been heavily sold on risk-aversion emanating from EMs;
- Once this alleviates, I’d expect profit-taking to re-surface;
I favour being short the Yen at or near to current levels. USD/JPY should now find support at 97.20/30 and AUD/JPY has very strong technical support at 86.25/40.