USD/JPY: Continues to recover in the range – Commerzbank

According to Karen Jones, analyst at Commerzbank, USD/JPY has kept the range intact and immediate bias neutral as it recovered from the base of the cloud at 112.46 and the 3 month uptrend at 112.32.

Key Quotes

“Intraday Elliott wave counts have turned more positive and we would allow for recovery to the top of the range at 113.92. Failure at the 112.32 uptrend would target the 110.70/109.77 200 day moving average and August low. If the 109.77 August low were to give way, the June 8 low at 109.20 would be in focus. Failure there would imply a slide back to the 108.12 May 29 low and the mid-February high at 107.91.”

“Above the market lies the 114.55 October high and the 115.60 61.8% Fibonacci retracement - this represents very tough overhead resistance.”