FXStreet (Edinburgh) – In light of the ongoing sell-off in the pair after Kuroda’s comments this morning, strategists at TD Securities suggested USD/JPY might find good support at 121.85/80.
Key Quotes
“While officials may be trying to walk back the Kuroda’s comments to an extent now and it should be the MoF that we look to far as dictating currency policy is concerned, there does appear to be a growing sense among Japanese officials that, for now at least, the JPY has weakened enough”.
“Note July and August tend to be seasonally negative for USDJPY so headwinds against USD gains may increase near-term; look for resistance in the mid/ upper 123s from here. USD losses may pick up below 121.80/85”.
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