USD/JPY neutral stance remains unchanged – UOB

The pair is seen prolonging its sideline theme in the next weeks, according to FX Strategists at UOB Group.

Key Quotes

24-hour view: “USD traded sideways as expected albeit at a narrower range than anticipated. The subsequent weak daily closing in NY suggest the immediate bias is tilted to the downside but a break of the major 106.60 support is not expected (106.85 is already quite a strong level). Resistance is at 107.40 followed by 107.65”.

Next 1-3 weeks: “We noted last Friday (13 Apr, 107.25) the improved undertone “could lead to a move above 107.50” but “a break above the top of the expected 106.20/107.90 consolidation range is not expected”. USD subsequently rose to a high of 107.77 before easing off to end the day unchanged. The price action reinforces our current view and we continue expect USD to trade sideways within the range mentioned above”.

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.