JPY: Persistent strength against the greenback - BBH

The dollar fell against the yen for the past three sessions and the two days of gains at the start of the week lifted the dollar to JPY111, the high seen earlier this month, and those gains interrupted a four-day decline of the previous week, notes the analysis team at BBH. 

Key Quotes

“By the end of the week, the greenback was flirting the lower end of the range since last November.  The dollar reached JPY108.60 before the weekend. The low from April was near JPY108.10 and the low in June was near JPY108.85.  The JPY107.85 area corresponds to the 61.8% retracement of the rally since the spike low last November (~JPY101.20).  In terms of a correction of the entire Abenomics era move, the JPY106.60 area is the 38.2% retracement.”