USD/JPY: Signs of recovery – Commerzbank

The US Dollar continues to show signs of strength as the USD/JPY pair has reached 108.00, Karen Jones from Commerzbank informs.

Key quotes

“We note a 13 count on the 240 minute chart and the Elliott wave count on the daily chart is implying that 106.92 was the end of the move.”

“We favour recovery and look for a retest of the 112.05/23 February high and 2017-2020 down channel, which we suspect will again hold.” 

“A slide back below 106.27, the 50% retracement, is required to alleviate immediate upside pressure for focus to revert back to 104.46, the August low.”