A fresh 7-month low in USD/JPY after the data as minor stops below 77.58 were tripped.
Semi-official demand and a barrier at 77.50 abruptly stopped the move, showing that it might have some muscle. Stops are seen below with more bids at 77.20/00.
If the Fed launches QE3, USD/JPY will probably fall below 77.00. It might be short-lived because immediately the talk will shift to Japanese MOF intervention and further BOJ measures to fight deflation.
Update: the 77.50 stops run down to 77.43.
