USD/JPY down at 87.50 from a North American close Monday up around 87.80, having traded as low as 87.23 in Asia after sell stops tripped through 87.50. News that Japan is to buy bonds issued by the ESM has lent some support.

As we said yesterday, USD/JPY trading has now become a much more precarious proposition. The one-way ticket to the moon has been invalidated.

From here buy orders buy orders clustered 87.00/20, sell stops below there. Topside, sell orders clustered 87.80/00.