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USD/JPY is at the 109.01 target and analysts at Commerzbank allow for profit-taking in the US dollar near-term. Thus, the pair is expected to fall to the 107.60-106.85 region.

See –  USD/JPY: Levels between 109.00 and 110.00 to be the top for this current rally – MUFG

Key quotes

“USD/JPY has reached the 200-week ma at 109.01, we also have a 55-month ma at 109.25 and the 2016-2021 resistance line at 110.00. If that is not enough we have a 13 count on the daily chart and TD resistance at 109.47. All suggest that we are likely to see some profit-taking imminently and we would continue to tighten stops and lighten up long positions.”

“Intraday Elliott wave counts are implying a small retracement to 107.60/106.85 ahead of further strength.”

“Initial support lies at 106.22, the mid-February high. Key support remains the uptrend at 105.53.”