USD/JPY negative below 114.30 – UOB

The downside momentum is expected to continue unless USD/JPY can regain 114.30.

Key Quotes

“The sharp decline is severely over-extended but with no signs of stabilization just yet, a dip below the overnight low of 113.15 seems likely. That said, 112.70/75 is a rather strong support and this level is unlikely to yield so easily”.

“While the sharp decline yesterday is accompanied by rather strong momentum, the late February low of 111.65/70 is likely out of reach (minor support at 112.70). That said, downward pressure is expected to continue to grow unless USD can reclaim 114.30 in the next few days”.