USD/JPY remains oversold, could test 99.50 – UOB

Pablo Piovano FXStreet

The research team at UOB Group noted the oversold condition of USD/JPY and suggested it could re-test the mid-99.00s.

Key Quotes

“The range of 100.07/100.92 yesterday was close to our expected sideway trading range of 100.00/100.90. However, the strong daily closing suggests that the current recovery has room to extend higher but at any up-move is expected to face stiff resistance at 101.30. Support is at 100.45 ahead of 100.05/10”.

“While the outlook for USD turned bearish yesterday, the down-move is extremely oversold. However, further extension to 99.50/55 cannot be ruled out. Only a move back above 101.50 would indicate that a short-term low is in place”.

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

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