USD/JPY: Likely to trade in a 142.70/144.55 range – UOB Group

FXStreet Insights Team FXStreet

US Dollar (USD) is likely to trade in a 142.70/144.55 range vs Japanese Yen (JPY). In the longer run, USD could continue to decline, but given the deeply oversold conditions, it remains to be seen if 139.55 is within reach, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

USD can also continue to decline

24-HOUR VIEW: "Last Friday, USD plummeted to 142.05 before rebounding sharply. Yesterday (Monday), we indicated that 'the rebound in deeply oversold conditions suggests USD is unlikely to weaken further.' We expected USD to 'trade in a 142.30/144.30 range.' Our view of range-trading was not wrong, even though USD traded in a narrower range than expected (142.23/144.08). The price movements still appear to be part of a range-trading phase. Today, we expect USD to trade in a 142.70/144.55 range."

1-3 WEEKS VIEW: "Our update from yesterday (14 Apr, spot at 143.70) still stands. As highlighted, USD 'could continue to decline, but given the deeply oversold conditions, it remains to be seen if 139.55 is within reach.' Overall, only a breach of 145.00 (‘strong resistance’ level was at 145.50 yesterday) would mean that the USD weakness that started early this month (see annotations in the chart below) has stabilised."

Author

FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

EUR/USD regains 1.1800 and beyond on USD U-turn

The sudden bout of selling pressure on the US Dollar allows EUR/USD to leave behind the initial weakness and advance to two-day highs just above 1.1800 the figure on Friday. The pair’s jump comes as investors continue to assess the US Supreme Court ruling on Trump’s global tariffs.

GBP/USD pops above 1.3500 on weaker Dollar

GBP/USD picks up extra upside traction and reclaims the area above the 1.3500 hurdle at the end of the week. That said, Cable sets aside four daily pullbacks in a row, regaining some composure in response to the sudden bout of downside pressure hurting the Greenback.

Gold stays bid, still below $5,100/oz

Gold is extending its run higher for a third straight session on Friday, navigating the area just past the key $5,000 mark per troy ounce. The move reflects ongoing geopolitical tensions in the Middle East, renewed losses in the Greenback and rising US Treasury yields.