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USD/JPY Decline Accelerates on Best Volumes of the Day

JPY
  • Downside in USD/JPY accelerating in recent trade - equity futures had traded relatively well throughout the US morning, but may have taken some cues off USD/JPY as Wall Street also sits in the red.
  • Best volumes of the day go through in USD/JPY futures on the latest move lower, with marks now narrowing the gap with key support just below the 114 handle at 113.76, the low from Nov 12/15.
  • A break through here opens losses toward 112.73/61 - the Nov 9 low and 50-day EMA respectively. Lack of support layered between 112.73 and 113.76 could suggest scope for a steeper decline pair should current losses continue into Thursday.
  • Largest options rolling off at Thursday's cut include Y113.90-05($1.4bln) and Y114.20-25($1.3bln)

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