Japanese Yen: Range trading holds against US Dollar – UOB
United Overseas Bank (UOB) analysts Quek Ser Leang and Lee Sue Ann see USD/JPY in a near-term range, expecting the Dollar to trade between 157.80 and 158.50 in the 24-hour view. For the 1–3 weeks horizon, they maintain a broader 157.50–159.05 range. Over 1–3 months, they highlight building downward momentum that points to further USD/JPY weakness, though reaching the January low at 152.08 is still uncertain.
Dollar seen consolidating in broad band
"24-HOUR VIEW: USD rose to 158.94 and then fell sharply. When it was at 158.00 yesterday, we indicated that “while downward momentum is starting to build, any further decline may not reach the major support at 157.50.” USD then declined to 157.53 before rebounding to close at 157.98 (-0.21%). Downward momentum has eased with the rebound. Today, we expect USD to range-trade, most likely between 157.80 and 158.50."
"1-3 WEEKS VIEW: On Wednesday (14 Oct, spot at 158.35), we highlighted that USD “has likely moved into a range-trading phase between 157.50 and 159.05.” Two days ago, USD spiked to a high of 158.94. Yesterday, USD declined to 157.53 and then rebounded. As our expected range remains intact, we continue to hold the same view for now."
