USD/JPY downside pressure mitigated above 105.45 – Commerzbank

According to Karen Jones, Head of FICC Technical Analysis at Commerzbank, the pair needs to close above 105.45 in order to alleviate the downside pressure.

Key Quotes

“USD/JPY continues to hold the the 78.6% retracement and recent low at 100.82/68. This has held now for 6 days and is considered to be an interim low. It is also considered to be the last defence for the 99.99 8 th July low and the 99.00 24th July low”.

“Intra-day the market will find initial resistance at 102.83 (2 nd August high). Rallies will need to regain 103.55 in order to challenge cloud resistance, which today lies at 103.04/105.44”.

“Only a close above 105.45 would alleviate immediate downside pressure and only above 107.49 (recent high) would confirm upside intent”.