According to Quek Ser Leang, Market Strategist and Peter Chia, Senior Currency Strategist at UOB Group, the USD/JPY could lose more ground and revisit the 146.00 area in the coming weeks.
24 hour perspective: We expected the USD to fall to 146.00 yesterday. Our expectation did not materialize as the USD fell to 146.21 and then rebounded strongly to 147.48. The bearish pressure has eased with the rebound. Today, the USD is likely to trade within a range, probably between 146.50 and 147.60.
Next 1-3 weeks: Yesterday (Dec 4), when the USD was trading at 146.50, we indicated that the recent USD weakness had resumed. We also indicated that if the USD ‘broke below 146.00, the focus would shift to 145.05’. Subsequently, the Dollar fell to 146.21 and rebounded. We continue to maintain the same opinion for now. In general, only a break of 148.10 (no change at the ‘strong resistance’ level) would suggest that the USD is not ready to break below 146.00.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
