According to United Overseas Bank’s (UOB) Quek Ser Leang, the Japanese Yen continues to exhibit a downside bias against the US Dollar, with USD/JPY price action described as choppy and rangebound. The pair closed around 159.30 after dipping to a low of 158.58, reflecting intraday uncertainty. UOB expects trading to remain between 158.80 and 159.60 in the near term, with the broader 1–3 week outlook maintaining an upside bias for the USD, though gains are likely to be constrained within a 158.00–160.20 range [1].
The FXStreet Insights Team notes that the USD/JPY closed largely unchanged at 159.48 (+0.04%) last Thursday, before dropping to 158.58 and rebounding to 159.30 (-0.11%). Despite the lack of clear direction in the short term, the underlying tone for the USD remains firm, and the bias is still tilted to the upside, albeit within a narrower trading band [1].
UOB’s analysis suggests that while the USD has not made significant upward progress, the current environment supports a contained range, with no immediate signs of a breakout. The market implication is that volatility is subdued and significant directional moves are unlikely in the short term [1].
CONCLUSION
The Japanese Yen is expected to remain under pressure against the US Dollar, with USD/JPY trading in a narrow range and a slight upside bias. Market participants should anticipate limited volatility and no major directional shifts in the near term, according to UOB’s analysis.