USDJPY: Well supported by 111.15 levels - BBH

Sandeep Kanihama FXStreet Contributor

Analysts at BBH note that the dollar finished last week with a three-day slide against the yen that took it to a two-week low a little below JPY112.00.

Key Quotes

“Just as the euro remains highly correlated with the US-German 2-year rate differentials, the yen is highly correlated with the 10-year differential. Specifically, the correlation on the basis of percentage change for the past sixty days is the highest in more than a decade (~0.77). The dollar carved a base earlier this month near JPY111.60. The 38.2% retracement of the rally since last summer's base near JPY100 is found near JPY111.15. The lows since the US election is about JPY111,30. Initial resistance now is seen near JPY113.00.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

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