JPY Futures: further downside on the cards

Open interest in JPY futures markets reversed the previous drop and rose by nearly 3.3K contracts on Tuesday according to preliminary readings from CME Group. In the same line, volume advanced by almost 40K contracts, resuming the previous up move.

USD/JPY targets the 200-day SMA above 109.00

USD/JPY keeps the rally well and sound amidst rising open interest and volume. That said, a test of the 109.00 barrier looks likely in the near term as well as a potential move to the critical 200-day SMA at 109.06.