8 Apr 2015
USD/JPY about to resume long-term bull trends - BofA
FXStreet (Bali) - MacNeil Curry, CFA, CMT, Technical Strategist at BofA Merrill Lynch, expects USD/JPY to soon resume its long-term bull trends.
Key Quotes
"Similar to our outlook for €/$ and £/$, the US $ Index correction does not yet look complete. Indeed, evidence says that we should see a decline to the 95.00/94.50 zone before the larger bull trend resumes for the 106.00 area. US $ Index bulls need a break of the Mar-31 high at 98.67 to say that the correction is over and that the bull trend has resumed."
"In contrast, $/¥ and $/TRY look far more bullish. For $/¥, the 4m range trade looks to be in its final throes. While allowing for one last pullback toward 118.78 (4m Triangle support), pullbacks should be bought. Upside targets are seen to 124.16/124.59, ahead of 128.45. Below 118.33 (Mar-26 low) invalidates the bullish setup."
Key Quotes
"Similar to our outlook for €/$ and £/$, the US $ Index correction does not yet look complete. Indeed, evidence says that we should see a decline to the 95.00/94.50 zone before the larger bull trend resumes for the 106.00 area. US $ Index bulls need a break of the Mar-31 high at 98.67 to say that the correction is over and that the bull trend has resumed."
"In contrast, $/¥ and $/TRY look far more bullish. For $/¥, the 4m range trade looks to be in its final throes. While allowing for one last pullback toward 118.78 (4m Triangle support), pullbacks should be bought. Upside targets are seen to 124.16/124.59, ahead of 128.45. Below 118.33 (Mar-26 low) invalidates the bullish setup."