The exchange rate of USD/JPY is reaching a high not seen since the Asian Financial Crisis.

If we look at the long-short position of hedge funds for the Japanese Yen, we will realize the hedge funds traders start shorting the Yen in Dec 2021 alongside the institutional traders.

Although the Japanese Yen is still falling against the US Dollar, hedge funds are closing their short position since April.

143 is an important level for USD/JPY. Once Yen falls below this level, it will drag the currency of major exporting countries of Asia to a lower stage.

Source:iSquare