Morning Forex Briefing

The USD is mixed to start New York after a
quiet overnight session that was mostly consolidating for the majors. The
usual Yen-dominated cross spreading was seen but against the USD the JPY was
range-bound in quieter volumes. During the European session the USD/JPY saw a
bit of volatility as it was announced by Eurogroup Chairman Juncker that the
G7 meeting would include a discussion on the JPY weakness. Meeting on Feb 9-10
the G7 will release a brief communiqué at the close of the meeting and that
will most likely include some rhetoric regarding the weak Yen analysts say.
USD/JPY is off its overnight highs at 122.00 the figure at 121.80 but still
above overnight lows at 121.54, technically the rate has strong resistance at
122.00/20 area and analysts do not see a lot of upside left before some kind
of a correction. EURO/YEN and GBP/YEN were active overnight with the latter
scoring lifetime highs; traders focusing on non-USD crosses for now but this
is keeping the USD firm by default. I think it is important to note that the
pricing in USD/JPY is related to Yen weakness—