USD/JPY still targets 110.10 – UOB

FX Strategists at UOB Group believe the pair could grind lower towards the 110.10 region in the near term.

Key Quotes

“We just turned bearish USD yesterday and held the view that the oversold decline has room to extend lower to 110.10”.

“USD touched a low of 110.21 before staging a strong rebound. As indicated, the reward to risk ratio is not attractive but further USD losses is not ruled out until 111.90 is taken out”.

“That said, the low 110.21 is acting as a solid support now and those who are short should consider booking some profit ahead of this level”.