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18 Apr 2014
Japanese retailers still favour further USD/JPY upside - Nomura
FXStreet (Bali) - According to the April Nomura Individual Investor Surve, retail investors still see upside risks to USDJPY.
Key Quotes
"55.7% of the respondents expect USDJPY to rise from the reference level (103.28 on 7 April), although the share has declined from the previous month (62.6%)."
"The small decline in the percentage of those who expect a rise in USDJPY is not surprising, as the reference level was raised from 101.47."
"The strong expectation of further JPY weakness among retail investors is also evidenced by the recent recovery of JPY selling positions in the margin trading market."
"Net USDJPY long positions at six major margin trading OTC brokers surged to JPY642bn ($6.3bn), the biggest net long position since at least May 2012 when consistent data became available."
"Margin traders likely judged the recent dip in USDJPY as a good entry point for renewed USDJPY long positions, as they still see upside potential for USDJPY."
"We judge Japanese flows remain supportive for USDJPY, limiting the downside risk going forward."
Key Quotes
"55.7% of the respondents expect USDJPY to rise from the reference level (103.28 on 7 April), although the share has declined from the previous month (62.6%)."
"The small decline in the percentage of those who expect a rise in USDJPY is not surprising, as the reference level was raised from 101.47."
"The strong expectation of further JPY weakness among retail investors is also evidenced by the recent recovery of JPY selling positions in the margin trading market."
"Net USDJPY long positions at six major margin trading OTC brokers surged to JPY642bn ($6.3bn), the biggest net long position since at least May 2012 when consistent data became available."
"Margin traders likely judged the recent dip in USDJPY as a good entry point for renewed USDJPY long positions, as they still see upside potential for USDJPY."
"We judge Japanese flows remain supportive for USDJPY, limiting the downside risk going forward."