USD/JPY has the 123.00 in its crosshairs – Credit Suisse
|USD/JPY is taking a healthy breather. Economists at Credit Suisse view this as a healthy pause ahead of a test of the long-term downtrend from April 1990 at 116.83.
Support at 114.96 ideally now holds
“With 10yr US Bond yields now seen completing a major base as looked for we expect this to further reinforce the existing base in USD/JPY.”
“We look for a break above 116.35 for a test of the long-term downtrend from April 1990, now seen at 116.83. Whilst we would expect to see a fresh phase of consolidation to emerge here, we look for a break higher post this for a challenge on the 118.61/66 highs of late 2016 and 2017.”
“Big picture, we look for an eventual rise to 1222.90/123.00.”
“Near-term support moves to 115.62, then 115.68/62 which we look to ideally hold. A close below 114.96 though remains needed to ease the immediate upside bias.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.