USD/JPY now trades 10 pips lower on......>

DOLLAR-YEN: USD/JPY now trades 10 pips lower on the day, last Y113.46, session

lows of Y113.44.

- Many have treated weekend developments re: the U.S.-China trade "truce" with a

degree of scepticism, pointing to the divergence in language used in the two

respective nations' statements, while many also note that the 90-day extension

still provides a relatively short amount of time to cross numerous hurdles to

come to a final concrete outcome re: future trade relations.

- This is likely limiting USD/JPY gains, alongside broader USD weakness, with

the rate peaking at Y113.85 in early trade today, in spite of the broader risk

on flows that have been observed.

- Bulls keep an eye on the Nov 28 highs of Y114.04 and a break above that level

would give them a green light for targeting the Nov 13 high at Y114.15.

Conversely, initial bearish focus falls on Friday's low at Y113.34 and a break

below would open up the Nov 29 low at Y113.19.