USD/JPY down at 85.40 from North American close Tuesday up around 85.85. Worries surrounding US economy, lower US yields, speculation Fed could soon move to implement further QE continue to weigh on pairing. Pick up in general risk aversion overnight has also not helped matters.
Talk of 85.00 barrier option interest. Anticipation they’ll be defence of said level. Buy orders seen 84.80/00 (84.81 15 yr low) before decent-sized stops below there. On topside sell orders noted up at 85.90/00.
Market seems to have convinced itself it won’t be seeing official intervention anytime soon.
