USD/JPY keeps the range unchanged near term – UOB

USD/JPY is expected to keep the broader 115.50/118.50 range for the next 1-3 weeks.

Key Quotes

“We highlighted yesterday that a temporary top is in place for USD but the sharp decline from a high of 118.17 was unexpected. The down-move appears incomplete and further weakness seems likely for today”.

“As noted yesterday, despite the breach of 118.50 on Tuesday, we view the USD strength as part of a broader consolidation and not the start of a sustained up move. The sharp decline yesterday reinforces our view and we continue to expect USD to trade choppily within a broad 115.50/118.50 range for now”.