USD/JPY underpinned by 99.55/99 – Commerzbank

A test of the mid-105.00s remains on the cards as long as the 99.55/99 band keeps holding the pair, suggested Karen Jones, Head of FICC Technical Analysis Research at Commerzbank.

Key Quotes

“USD/JPY continues to ease back from the four month downtrend at 103.00. In this vicinity we find the 103.55 16th June low and the base of the cloud at 102.74. This suggests a tough near term band of resistance, which may take more than one attempt to get through”.

“As long as the four month support line at 99.92 and the July and August lows at 99.99/55 hold, the May low at 105.55 will remain in focus. Still further up the early April low and July peak can be seen at 107.49/63”.