USD/JPY is bid today and en-route to reverse its recent extended downside price action.
"The yen has strengthened for seven consecutive trading days against the US dollar highlighting the one sided nature of the price action, notes BTMU
"It is the longest number of consecutive days that the yen has strengthened against the US dollar since October 2011 which occurred just before Japan last intervened to weaken the yen. However on that occasion the yen was also significantly overvalued as USD/JPY was trading closer to the 75.00-levels," BTMU adds
Copy signals, Trade and Earn $ on Forex4you - https://www.share4you.com/en/?affid=0fd9105
"Comments yesterday from US Treasury Secretary Lew calling for the IMF to play a more aggressive role in policing exchange rate fluctuations, global imbalances, and the failures of members to live up to commitments to boost global demand highlight that Japan are likely to face international opposition to intervention. He explicitly stated that FX intervention for competitive advantage in unacceptable.
Overall, we continue to believe that Japan is unlikely to directly intervene to dampen the yen’s advance unless it strengthens more rapidly in a disorderly fashion," BTMU argues.