USD/JPY to slide towards the 107.36 mark – Commerzbank

USD/JPY has bounced from the 109.12/07 lows. However, the pair’s upside remains capped below 110.25. Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, expects USD/JPY to drop as low as 107.36.

See – USD/JPY: Three reasons why the yen could start to recover – MUFG

First support seen at the Mid-July low of 109.07

“Key overhead resistance lies at 110.25/85. While capped here, we favour the downside.”

“Immediate supports are 109.07/10 and 108.73 and a drop through 108.56 (end of May low) would engage the 108.19 200-day ma and the 107.48 April low.” 

“The 55-week ma lies at 107.36 and we would allow for some consolidation there.”