USDJPY remains one of the most volatile pairs. With the BOJ manipulating the books to destroy both long and short biased traders, I expect the quarterly NPOC to be hit at approximately 159 level.
This will also cause a 'fake out' from the ascending channel, likely triggering short traders to be stopped out, and then from those levels, we may see BOJ to start buying the yen again.
The CTFC COT report suggests that most retail traders are shorting the USDJPY, whereas hedge funds and asset funds are long the USDJPY. This leads me to believe that we will see higher prices at least in the short-medium term.
This will also cause a 'fake out' from the ascending channel, likely triggering short traders to be stopped out, and then from those levels, we may see BOJ to start buying the yen again.
The CTFC COT report suggests that most retail traders are shorting the USDJPY, whereas hedge funds and asset funds are long the USDJPY. This leads me to believe that we will see higher prices at least in the short-medium term.