7 Dec 2015
USD/JPY points to a consolidative pattern – BBH
FXStreet (Edinburgh) - The research team at BBH has reiterated USD/JPY keeps pointing to a rangebound pattern for the time being.
Key Quotes
“The dollar is often in a range against the yen”.
“When it looks like it is trending, it is frequently simply moving from one range to another. Consider the recent price action. From late-August through earl-November, the dollar was confined to a JPY118.00-JPY122.00 range”.
“After testing the lows in late October, the dollar began to trend higher. First to the upper end of the range and through that. It has entered into a new trading range over the past month: JPY122.00-JPY124.00”.
“Although the dollar finished on a firm note, we suspect that the slippage in the 10-year bond differential and an upward revision to Q3 GDP estimates (from a small contraction to a small expansion) may help reinforce the ceiling”.
Key Quotes
“The dollar is often in a range against the yen”.
“When it looks like it is trending, it is frequently simply moving from one range to another. Consider the recent price action. From late-August through earl-November, the dollar was confined to a JPY118.00-JPY122.00 range”.
“After testing the lows in late October, the dollar began to trend higher. First to the upper end of the range and through that. It has entered into a new trading range over the past month: JPY122.00-JPY124.00”.
“Although the dollar finished on a firm note, we suspect that the slippage in the 10-year bond differential and an upward revision to Q3 GDP estimates (from a small contraction to a small expansion) may help reinforce the ceiling”.