Global macro analysis for 26/07/2016:

Just three days before the Bank Of Japan meeting, the general expectations regarding huge amount of stimulus seems to be fading away. Various officials have been out on the financial mass media overnight and the general tone seems to be very cautious towards the amount of the anticipated stimulus. Japan finance minister Aso said, that government has yet to decide on size of stimulus spending and it is still considering appropriate amount. In conclusion, the BoJ meeting might not deliver the highly anticipated huge stimulus, but more appropriate amount.

Let's now take a look at the USD/JPY technical picture in the daily time frame ahead of the BoJ meeting. The bear camp has managed to push the price lower towards the 50%Fibo at the level of 103.73. Moreover, the price is trading below 55,100, and 200 DMA, which clearly indicated a bull market.