JPY Futures: neutral/bearish near term

CME Group’s advanced figures for JPY futures markets noted investors added nearly 1.9K contracts to their open interest positions on Tuesday. Volume rose by more than 29K contracts after two drops in a row.

USD/JPY stays capped by the 109.00 handle

The weekly up move in USD/JPY found resistance in the 108.40 zone yesterday. Rising open interest and volume coupled with declining prices in the Japanese safe haven could trigger further upside in the near term with the next target at monthly highs in the 109.00 neighbourhood.