UOB Group analysts anticipate that the USD/JPY pair will continue to trade within a range in the near term, potentially moving between 143.50 and 146.20. The pair’s recent price action suggests slowing downward momentum, but the overall weakness persists as long as the strong resistance level at 148.30 remains unbroken.
Key Takeaways:
- 24-Hour View: UOB Group expects USD/JPY to trade in a range of 143.50 to 146.20 today.
- 1-3 Weeks View: The overall outlook for USD/JPY remains bearish, with the next significant support level located at 140.80. However, it remains to be seen whether the pair will reach this level. The key resistance level to watch is 148.30.
Market Implications:
Traders should be mindful of the potential for continued range-bound trading in the USD/JPY pair in the short term. If the pair breaks below the 143.50 support level, it could signal further downside towards 140.80. Conversely, a break above the 148.30 resistance level would invalidate the bearish outlook and suggest a potential upward move.