USD/JPY sticks to the range bound trade – UOB

In the view of Markets Strategist Quek Ser Leang and Senior FX Strategist Peter Chia at UOB Group, USD/JPY is now expected to maintain a consolidative mood, likely between 145.90 and 150.50.

Key Quotes

24-hour view: Yesterday, we held the view that the outlook for USD is mixed, and it “could trade in a choppy manner between 148.00 and 149.90.” However, it traded in a relatively narrow range between 148.72 and 149.31 before closing little changed at 149.12 (+0.07%). The outlook remains mixed. Today, we expect USD to trade between 148.00 and 149.55. 

Next 1-3 weeks: There is not much to add to our update from yesterday (04 Oct, spot at 149.10). As highlighted, the sharp fluctuations two days ago have mudded the outlook. For the time being, USD could trade in a broad range of 145.90/150.50.