The US Dollar (USD) is expected to strengthen further against the Japanese Yen (JPY) and could test the 155.20 level, though any additional advance is unlikely to reach beyond 155.55, according to FX strategists Quek Ser Leang and Peter Chia from UOB Group.
Short-Term Outlook (24-Hour View)
UOB analysts noted that the USD/JPY pair staged a stronger-than-expected advance, touching a high of 155.04 in the previous session, despite earlier expectations for range-bound trading.
“Upward momentum has increased, though not significantly. For today, USD could climb and potentially test 155.20. However, based on current momentum, further gains beyond 155.55 appear unlikely,”
the analysts wrote.
On the downside, immediate support is seen at 154.55, followed by 154.30.
Medium-Term Outlook (1–3 Weeks View)
In their earlier commentary on Tuesday (11 November, spot at 154.15), UOB highlighted that USD/JPY was likely to trade within a 153.10–155.00 range. The subsequent breakout above 155.00 (high at 155.04) signals a developing upside bias, though momentum remains modest.
“While the price action points to a firmer USD, the absence of strong upward momentum suggests any gains may be capped near 155.55,”
Quek and Chia noted.
Conversely, a break below the strong support at 153.95 would indicate the fading of the current bullish bias.
Summary:
- Upside target: 155.20 (limited potential beyond 155.55)
- Support levels: 154.55, 154.30, and key support at 153.95
- Bias: Upside remains intact, but momentum is moderate