Home USD/JPY: Scope For A Move Towards 114.50 Before Meeting Serious Resistance – NAB
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USD/JPY: Scope For A Move Towards 114.50 Before Meeting Serious Resistance – NAB

USD/JPY retreated after marching to the upside. What’s next?

Here is their view, courtesy of eFXdata:

NAB Research discusses USD/JPY outlook and notes that  from a technical perspective USD/JPY has room to trade toward ¥114.50 before it finds some serious resistance.

“The speculative community has modestly increased it short JPY positioning, but history would suggest there is plenty of room for further increases.

Our USD/JPY fair value model also suggests the currency is not yet looking expensive and similar to the technical picture, a move to nearer ¥114.50 is needed for the pair to look rich (all else equal).

Our bias would be for USD/JPY to head above ¥114 as long as trade tension worries do not turn into a DM equity rout,” NAB argues.

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Yohay Elam

Yohay Elam

Yohay Elam: Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I've accumulated. After taking a short course about forex. Like many forex traders, I've earned a significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I've worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts.