USD/JPY to suffer a retracement towards support at 113.30 – SocGen

USD/JPY has experienced an accelerated uptrend after breaking above the 2020 peak of 112.23. Economists at Société Générale expect the pair to correct lower but with the 113.30 level holding.

Support 113.30, resistance 114.70

“An initial pullback can’t be ruled out however 113.30, the 23.6% retracement from August could provide support.”

“A large decline is not envisaged so long as 2020 highs of 112. 23/111.65 holds.”

“Beyond 114.70, the pair could persist with its up move towards next objectives could be at projections of 115.50/115.85 and 116.50.”