USD/JPY: Likely to trade in a range between 146.40 and 148.40 – UOB Group

US Dollar (USD) is expected to trade in a range between 147.00 and 148.00. In the longer run, outlook is mixed; USD could trade in a range between 146.40 and 148.40, UOB Group’s FX analysts Quek Ser Leang and Peter Chia note.

Outlook is mixed for USD/JPY

24-HOUR VIEW: "Yesterday, when USD was at 147.55, we noted that 'the price action still appears to be part of a range-trading phase,' and we expected it to 'trade in a range between 146.70 and 148.00.' USD subsequently fluctuated between 146.97 and 147.90, before closing at 147.40 (-0.25%). We are not able to derive much from the price movements. Today, we continue to expect range-trading, most likely between 147.00 and 148.00."

1-3 WEEKS VIEW: "Our update from two days ago (25 Aug, spot at 147.35) remains valid. As highlighted, 'The recent sharp price swings, which failed to result in a sustained directional move, have led to a mixed outlook for USD. For the time being, USD could trade in a range between 146.40 and 148.40.”