JPY Futures: Upside momentum looks firm

Flash data for JPY futures markets noted open interest reversed four consecutive drops on Friday and rose by around 88.7K contracts according to flash data from CME Group. In the same line, volume went up by the second session in a row, this time by almost 157.2K contracts.

USD/JPY could attempt a move to 106.50

Increasing risk aversion dragged USD/JPY to fresh yearly lows near 107.30 during early trade on the back of rising demand for the safe havens. Rising open interest and volume in the Japanese currency allows for extra gains in the near-term and could motivate the pair to recede to the October 2019 low in the mid-106.00s.