The Japanese yen was one of the worst performing major currencies globally last year. Scotiabank economists forecast USD/JPY to hit 130 by the end of 2023.
A break below 129.50 could open the doors to 121.45
“Our forecast for USD/JPY is consistent with the current Bloomberg Consensus Estimate for 2023 (130 in the fourth quarter) and the trend we expect to unfold reflects the broader outlook we have for the USD versus the JPY. In other words, Stability near current levels in H1, with room for modest yen gains in H2 as the Fed takes its foot off the monetary brake.”
“Long-term charts stand out 134.80/135.00 as resistance and 138.00/138.10 as main resistance above that level.”
“Support is in 129.50with a drop to 127.25 (50% Fibonacci retracement of the 2021/22 rally) or possibly 121.45 (61.8% retracement).”
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.
