JPY Trading Outlook (16-04-2014)

USD/JPY: Offers by 102 capped the USD/JPY again yesterday, Unlike Monday, the push was below the hourly cloud. But Nikkei tends to open higher today which could help the pair to rally above 102 area. Given today’s post Abe-Kuroda meeting comments, launching QQE2 at the late April BOJ meeting would be a surprise. Massive short yen spec positioning is banking on either the BOJ ease more, reinflation persisting and reducing real Japanese yields and the value of the Yen. USD/JPY major support at 101.20 and 100.80. Resistance at 102.25 and 102.55.

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