USD/JPY: Well-placed to retest tough resistance at 112.23/50 – Commerzbank

USD/JPY is closing in on 112.00 and stays within a touching distance of the 8-month high it reached at 112.08 on September 30. The pair target the 112.23/50 resistance zone, Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, reports.

See: USD/JPY to see a topside break towards 113.25 and potentially 114.31 – DBS Bank

Break below 110.45 to alleviate upside pressure

“USD/JPY continues to bounce off the 110.80 August peak and is well placed to re-challenge the important 112.23/50 zone, which represents highs since 2019. This is tough, tough resistance and may take a couple of attempts to clear, but an eventual erosion looks possible and above here will introduce scope to 114.55 the October 2018 high.”

“Loss of 110.45 is needed to destabilise the chart and allow for a deeper sell-off.”