Mr. Azumi, President of the Bank of Japan, is afraid the Japanese Yen may become even stronger. That is why he doesn’t deny another currency intervention to eliminate excessive volatility and speculation in the market of Japan’s national currency.
The market is worried that USDJPY is close to 3-month low because it increases the probability of another intervention.
In the meantime, USDJPY keeps flowing the bearish scenario given in the outlook for Jan 31st 2012. According to the Department of Masterforex-V Trading System , the currency pair has formed another bearish sub-wave inside the long-term downswing A(C )/C. A break below 76.15 will give way to 76.03, 75.82, 75.98. A rally will be probable only when the price breaks above the MF sloping channel and pivot 76.41 (as shown below), thus completing the downswing.
