USD/JPY flows: Sell the fact trade continues

Sell the fact trades continue to play out in USD/JPY. It has been a one way traffic since the BoJ exit negative interest rate on Tuesday. The lack of signalling further tightening seems to be the key reason to fuel such move. If the pace of rally in USD/JPY does not slow, we could expect verbal intervention reaching the headline soon. Yet, in a medium run, USD/JPY should tilt to south as the fundamental has shifted.

USD/JPY is trading 0.38% higher at 151.42.