USD/JPY: Likely to trade in a range between 147.60 and 148.90 – UOB Group

US Dollar (USD) is likely to trade in a range between 147.60 and 148.90 vs Japanese Yen (JPY). In the longer run, downward momentum has largely faded; USD is expected to trade in a range between 146.50 and 149.50, UOB Group's FX analysts Quek Ser Leang and Peter Chia note. 

Downward momentum has largely faded

24-HOUR VIEW: "USD rebounded to a high of 148.11 two days ago. Yesterday, when USD was at 148.00, we were of the view that it 'could continue to rebound, but it does not seem to have enough momentum to break above 148.80.' The anticipated rebound exceeded our expectations as USD popped to a high of 149.19 in NY session, pulling back sharply to close at 148.25 (+0.32%). The pullback in slowing momentum indicates USD is unlikely to rise further. Today, it is more likely to trade in a range between 147.60 and 148.90." 

1-3 WEEKS VIEW: "Yesterday (12 Mar, spot at 148.00), we revised our view to neutral, indicating that 'downward momentum has largely faded.' We expected USD to 'trade in a range between 146.50 and 149.50.' Our view remains unchanged."