USD/JPY: Likely to trade in a range between 151.85 and 152.75 – UOB Group

US Dollar (USD) is likely to trade in a range between 151.85 and 152.75. In the longer run, the current price movements are likely the early stages of a 149.50/153.00 range-trading phase, UOB Group’s FX analysts Quek Ser Leang and Peter Chia note.

Current price movements are likely a part of a range-trading phase

24-HOUR VIEW: "USD fell sharply and closed at 151.15 last Friday. Yesterday, USD opened on a strong note, and when it was at 152.05, we stated that 'the immediate downward pressure appears to be easing, and instead of continuing to decline, USD is more likely to trade in a range today, expected to be between 151.30 and 152.70.' However, USD traded within a narrower range of 151.70/152.44. The price movement still appear to be part of a range-trading phase, most likely between 151.85 and 152.75."

1-3 WEEKS VIEW: "We revised our view to neutral yesterday (13 Oct, spot at 152.05). We indicated that 'the current price movements are likely the early stages of a range-trading phase, probably between 149.50 and 153.00.' There is no change in our view."