Yesterday the USDJPY traded firmly throughout the day, with 150.21 yen marked as the low shortly after the opening. With Takaichi's appointment as LDP president, expectations for a Bank of Japan rate hike have diminished, and some are even talking about a revival of the yen carry trade. The price reached a high of 152.04 around GMT 16:00 and trading for the day closed at 151.89.

Today the USDJPY hit a low of 151.73 yen around GMT 22:00 (on October 7), but then pushed higher to reach 152.64 yen around GMT 02:00. As of GMT 04:00, it is moving in the mid-152 yen range.

Looking at the 1-hour chart of the USDJPY (as of GMT 04:20 on October 8), the strong upward trend continues with an ongoing Bollinger Band walk. There are no notable targets in the near term to the upside, suggesting the upward momentum is likely to continue.

(20-period Bollinger Band, showing ±1 and ±2 standard deviations)

The main economic indicators for today are as follows:

• GMT 18:00 U.S. Federal Open Market Committee (FOMC) Meeting Minutes
• GMT 18:00 U.S. September Monthly Budget Statement