JPY futures: scope for extra downside

Open interest in JPY futures markets shrunk for the fourth straight session on Tuesday, this time by almost 5.7K contracts. Volume followed suit, down for another session and by around 37.5K contracts.

USD/JPY now looks to 110.00 and above

Declining open interest and volume around the Japanese safe haven should remain supportive of further upside momentum in USD/JPY, which has now re-shifted its attention to the psychological 110.00 handle.