Search ForexCrunch

Robert Rennie, Research Analyst at Westpac, suggests that they have stuck with a neutral near term/ more constructive 1m bias for USD/JPY pair on the basis that the 108 to 111 range was well defined but we do see a break higher in the months ahead as the ‘positive dollar fundamentals’ shine through.

Key Quotes

“The potential for all out trade war/ European political risks and EM volatility remain potent factors that should contain USD/JPY within the current range though the lack of downside over the last week or so suggests stronger underlying demand.”

“Thus at the risk of being too confident in the near term, we shift our near term neutral bias back to positive again.”