USD/JPY to remain driven by rate differentials – OCBC

FXStreet (Barcelona) - Emmanuel Ng of OCBC Bank, sees USD/JPY to remain responsive to rate differentials, and looks at US data and risk appetite developments to add further direction to the pair.

Key Quotes

“Expect the pair to remain responsive to rate differentials, especially from the perspective of the front end of the respective curves.”

“With the pair sitting atop 120.00, look towards US data flow and risk appetite dynamics for immediate cues.”

“On the downside, the 55-day MA (118.85) should cushion while 121.15 is seen as an initial cap.”

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