JPY Trading Outlook (28-10-2010)

The Japanese Yen (JPY) was weaker against the USD but gained against risk currencies as stock markets turned red. Y82 capped in New York but a second test could happen in Asia if the market feels the downside is over for the time being with the market positioned heavily short. Overall the USDJPY traded with a low of 81.36 and a high of 82.01 before closing the day around 81.70 in the New York session. Looking ahead, September Retail Sales is forecast at 3% vs.4.3% previously.

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