USD/JPY faces extra range bound near term – UOB

USD/JPY should keep the 114.75-116.05 range unchanged for the time being, noted FX Strategists at UOB Group.

Key Quotes

24-hour view: “Our expectations for ‘upside bias’ in USD did not materialize as it traded between 115.34 and 115.78. The underlying tone appears to have softened somewhat and USD could drift lower but a sustained drop below 115.20 appears unlikely. Resistance is at 115.60 followed by 115.80.”

Next 1-3 weeks: “There is not much to add to our update from Monday (14 Feb, spot at 115.40). As highlighted, the current movement is viewed as part of a consolidation and USD is likely to trade between 114.75 and 116.05 for now.”