USD/JPY neutral to positive near term – Commerzbank

USD/JPY keeps the neutral to positive stance in the short term, suggested Karen Jones, Head of FICC Technical Analysis at Commerzbank.

Key Quotes

“USD/JPY last week eroded the near term downtrend and the 200 day ma and it is currently probing the base of its cloud at 111.82. The move above here has cleared the way to the 112.13 24th May high. Rallies will need to regain 112.13 to retarget the 114.38 recent high. Dips should find support offered by the 200 day ma at 110.78”.

“Nearby support is the 110.24 18th May low and the 250 day ma at 109.16 and 55 week ma at 108.85, below here, there is scope for slippage to the 108.13 April low”.