Price action shows long dollar/yen positions building before the weekend ahead of an expected win by Japanese Prime Minister Shinzo Abe's LDP party in an upper house election on Sunday. Such a win would allow Abe to continue with his aggressive stimulus plans of monetary easing and government spending. The yen fell to a seven week low against the euro on Thursday. If the dollar breaks above 101.50 yen with momentum, the uptrend is clearly intact. The risk is that Abe’s party loses and Abe is not endorsed by the electorate in which case investors betting on yen weakness clearly on the wrong side of the trade. But for now, election opinion polls seem to indicate yen weakness is the safer trade. The yen has lost 14.2 percent against the dollar in the last year making it the worst performing of the 36 most actively traded currencies against the dollar. 
