ANZ Research discusses USD/JPY outlook and adopts a strategic sell-on-rallies into the 115 levels.
“We continue to think that the timing for a more substantial move in the JPY is uncertain. While on the one hand, it has proven over the past month that it is still a haven currency, we think that an extension of the risk-off sentiment is a 50/50 bet. And a stabilisation in that flow could see the USD manage a sharp rebound against the JPY.
We would rather use bounces back towards the strong resistance around 115 as an opportunity to enter strategic shorts positions,” ANZ argues.