Dollar/yen reached 8 month highs, but could not sustain all the gains, as the yen eventually enjoyed some safe haven flows due to fiscal cliff issues. Household Spending, Tokyo Core CPI and Retail Sales are the main events on our calendar. Here’s an outlook for the Japanese events and an updated technical analysis for USD/JPY. Last week The conservative Liberal Democratic Party has returned to power. Prime Minister Yoshiko Noda resigned after the elections calling the results a “disappointment.” The new Prime Minister Shinzo Abe, is set to enact an extra loose monetary policy to boost the economy and work towards ... (full story)