16 Feb 2015
USD/JPY might stay capped at 118.84 in the near-term – OCBC
FXStreet (Barcelona) - Emmanuel Ng of OCBC Bank, comments that with USD/JPY failing to gain support from risk appetite developments, pending further dollar cues, the pair might remain capped at 118.84 in the near-term.
Key Quotes
“USD-JPY faded lower despite rate differentials moving in favor of the USD on Friday, implying some degree of position adjustment in play and with disappointing 4Q GDP numbers early Monday doing little to dissuade dollar bears in this pair.”
“On the CFTC front, net leveraged JPY shorts increased in the latest week but near term USD vulnerability may confine the pair below its 55-day MA (118.84) in the near term.”
“Investors are likely to fade any upticks pending further dollar developments given that risk appetite improvements in recent sessions have failed to provide significant support for the pair.”
Key Quotes
“USD-JPY faded lower despite rate differentials moving in favor of the USD on Friday, implying some degree of position adjustment in play and with disappointing 4Q GDP numbers early Monday doing little to dissuade dollar bears in this pair.”
“On the CFTC front, net leveraged JPY shorts increased in the latest week but near term USD vulnerability may confine the pair below its 55-day MA (118.84) in the near term.”
“Investors are likely to fade any upticks pending further dollar developments given that risk appetite improvements in recent sessions have failed to provide significant support for the pair.”