Forex Flash: Yen recovers faster than USD – Commerzbank

FXstreet.com (Barcelona) - Ulrich Leuchtmann, Head of FX Research at Commerzbank believes that what is noteworthy is that when compared with last week's closing levels, the Yen has recovered further than the general Dollar weakness and a moderate risk would suggest.

He believes that this is hardly surprising as following a rather exciting November, things have settled down and profit taking is on the agenda. He feels that there is unlikely to be any important news ahead of the elections now.

However, there is something which he believes that we should not forget about, "For a long time all fundamental analysis has been pointing out that USD-JPY should trade much higher. And every time anyone paying attention to this reasoning was tricked. Any scepticism towards strategic USD-JPY longs is quite understandable."