JPY Futures: further upside not ruled out

CME Group’s flash data for JPY futures markets noted open interest reversed two drops in a row and increased by around 1.1K contracts on Tuesday. Volume, too, rose by more than 26K contracts after two consecutive drops.

USD/JPY faces initial support near 108.70

USD/JPY is recovering some ground following three consecutive daily pullbacks. Rising open interest and volume in the Japanese safe haven hints at the likeliness that extra downside remains in the pipeline for the pair, which should find some initial contention around the 21-day SMA near 108.70.