USD/JPY to extend its advance towards the 110.81 mark – Credit Suisse

USD/JPY has again held key price support at 109.12/11 for the completion of a bullish “reversal day” to reassert an upward bias. Next resistance is seen at 110.04/17, then 110.45, analysts at Credit Suisse report.

See – USD/JPY: Three reasons why the yen could start to recover – MUFG

The immediate risk turn higher

“Above 110.04/17 is needed to see the near-term downtrend break as well as the 55-day average cleared, with resistance then seen next at 110.45, then 110.81.”  

“Above the 110.81 level remains needed to clear the way for a test on long-term resistance, starting at 111.66 and stretching up to 112.40.” 

“Support is seen at 109.53 initially, then 109.41.”

“Below 109.11 would see the risk turn lower again for a test of the 108.73 August low and then we think the rising 200-day average and 38.2% retracement of the 2021 uptrend at 108.21/19. Our bias remains to look for a fresh floor here.”