FXStreet (Edinburgh) – Strategist at Westpac Robert Rennie recommended buying the pair on dips towards the 122.50/00 area.
Key Quotes
“Domestic activity data is clearly not a driver for USD/JPY or ¥ crosses. Rather, it will be the ECB and Fed that will drive overall direction here”.
“We expect to see the ECB deliver fully and the Fed to deliver just enough to push front end yields higher”.
“Thus we stick with a buy bias for USD/JPY, however with positioning stretched, we prefer to wait for dips – dips for us are back towards 122.00/50”.
(Market News Provided by FXstreet)