USD/JPY still targets the 115.00 area – UOB

FX Strategists at UOB Group reiterated USD/JPY could extend the upside to the vicinity of the 115.00 handle in the next weeks.

Key Quotes

“The 113.45/50 target indicated yesterday was not met as USD rebounded after hitting a low of 113.53. The immediate downward pressure has eased and this pair has likely moved into a consolidation phase. Sideway trading is expected from here, likely within a 113.60/114.30 range”.

“The ‘rebound target’ indicated at 114.95 is not met as USD fell sharply after touching a high of 114.74 last Friday. While the rapid pull-back has dented the upward momentum, another attempt to move towards 114.95 still seems likely. This is a rather strong resistance and is unlikely to break so easily. On downside, support is at 113.50 but only a move below 113.35 would indicate that a short-term top is in place”.