USD/JPY Remains in a Defined Trading Range
UOB strategists Quek Ser Leang and Lee Sue Ann noted that USD/JPY briefly slipped to 156.94 before recovering to close near 157.53. The rebound followed the pair's move below the 157.00 level, but the decline did not produce a clear acceleration in downward momentum.
For the immediate session, UOB sees the pair trading within an estimated range of 157.10 to 158.05. The bank's broader near-term range remains 157.00 to 158.60.
What Could Shape the Next Move?
A sustained break below 157.00 would strengthen the case for further downside in USD/JPY. Until such a move is confirmed, the pair may continue consolidating within its established range.
Over a one-to-three-month horizon, UOB says downward momentum in the US Dollar has increased rapidly, creating further downside risks for the pair.
Key USD/JPY Levels to Watch
Traders may monitor 157.00 as an important support area and 158.60 as the upper boundary of the broader range highlighted by UOB.
A clear move beyond either boundary could provide a stronger signal about the pair's next directional trend. Until then, range-trading conditions may remain dominant.
UOB maintains a 157.00–158.60 trading range for USD/JPY, while its longer-term outlook highlights increasing downside momentum.
Frequently asked questions
What is UOB's near-term outlook for USD/JPY?
UOB expects USD/JPY to remain in a range, with 157.00–158.60 acting as the broader trading band.
Which level is important support for USD/JPY?
The 157.00 area is an important level to watch. A sustained break below it could increase downside risks.
Does UOB expect the US Dollar to weaken against the Yen?
UOB's one-to-three-month outlook highlights increasing downward momentum, suggesting further downside risk for the US Dollar against the Yen.
Pips School Editorial
The Pips School editorial team writes independent educational material on forex markets, broker selection and risk management.
Editorial principles
