USD/JPY rangebound between 100-105 – UOB

Analysts at UOB Group expect USD/JPY to remain in a consolidative theme in the next 1-3 weeks.

Key Quotes

“The rapid decrease in volatility was surprising as USD traded in a relatively narrow range of 101.37/102.46. The outlook is mixed from here but price action suggests further consolidation at these lower levels albeit with a downward bias”.

“After registering a whopping 770 pips range last Friday, USD settled down quickly and traded in a surprisingly narrow range of 101.37/102.46 yesterday”.

“However, the outlook for USD from here is still unclear and a sudden pickup in volatility cannot be ruled out just yet. That said, we believe 100.00/105.00 should be enough to contain the price action over the next several days”.