The Japanese Yen's price action yesterday was among the flattest in the market. With little price movement against any currency pair, the JPY has apparently entered a narrow trading tunnel of no more than 50 pips between the highs and lows versus most currency rivals. The yen fluctuates near the 89.30 price mark against the USD, and sits steadily at 139.30 opposite the British Pound.
The likely culprit in this constricted movement are the contradictory reports of growing market sentiment and declines in money supplies published in reports on Sunday and Monday. With little news coming from the island economy today, and with a deficit in impacting news events from other regions, there is little reason to believe that the JPY will exit this tight trading range today. Traders can take advantage of these small fluctuations by entering short-term trades within the current range.