USD/JPY keeps the range between 100.50/102.80 – UOB

In view of the research team at UOB Group, USD/JPY remains within the 100.50/102.80 range in the next 1-3 week.

Key Quotes

“While USD held below the 102.30 resistance (high of 102.27), the subsequent sharp drop from the top that easily tok out the 101.00 support was unexpected (low of 100.82). Despite the rebound from the low, another leg lower towards 100.70 seems likely before a more sustained recovery can be expected”.

“USD has been trading mostly sideways in the past 2 weeks. Flat indicators continue to suggest a neutral outlook for this pair and only a clear break out of the expected sideway trading range of 100.50/102.80 would indicate the start of a directional move. That said, the odds for a break below 100.50 are markedly higher compared to a move above 102.80”.