USD/JPY a test of 110.11 can’t be ruled out – Commerzbank

In opinion of Karen Jones, Head of FICC Technical Analysis at Commerzbank, there still remains the chance for the pair to slip back to the 112.10 area.

Key Quotes

“USD/JPY rejects the 55 day ma at 112.12: We remain unable to rule out scope for losses towards the 110.11 250 day ma, but we look for the market to stabilise and recover. Nearby resistance is the 55 day ma at 112.12 and this guards the 114.50 recent highs. Above 114.50 will see an extension to the 115.51/62, this years highs. Initial minor resistance lies circa 112.50/75”.

“Key nearby support is the 250 day ma at 110.11 and 55 week ma at 109.65, below here, there is scope for slippage to the 108.13 April low”.