USD/JPY: Immediate bias neutral - Commerzbank

Karen Jones, analyst at Commerzbank, points out that the USD/JPY has sold off to the 3 month uptrend at 112.44 and while this holds this keeps the range intact and the immediate bias neutral.

Key Quotes

“Intraday Elliott wave counts have turned more negative however and the risk is for failure at the 112.44 uptrend, which would target the 110.83/109.77 200 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. Should 112.44 again hold this would target the top of the range at 113.88. A close above here is needed to confirm scope to the 114.55 October high.”