USD/JPY remains bid above 113.90 – Commerzbank

Karen Jones, Head of FICC Technical Analysis at Commerzbank noted spot remains bid while above 113.90.

Key Quotes

“USD/JPY continues to probe the 113.80/114.87 resistance area, which consists of the mid-February-to-March highs. It remains immediately bid and above TD resistance at 113.90 we look for a move to the 200 week ma at 114.79. Above here we also have the 115.61 top of cloud (this is also the location of the 61.8% retracement of the move 2015-2016)”.

“Note the Elliott wave count on the daily chart is suggesting a retracement into the 110.90/109.05 band. This is the 23.6% and 38.2% retracement of the last leg up. We are looking for a shallow correction only”.