USD/JPY is rebounding sharply. Economists at Credit Suisse continue to look for an eventual sustained move above the 135.20 high of 2002.

Support at 132.71set to hold

“Above 134.64/68 should add weight to our view for a fresh attempt to see a sustained move above the 135.20 high of 2002.”

With a multi-year ‘secular’ base in place, we expect 135.20 to be “decisively cleared in due course with resistance then seen next at 135.85/87 and eventually 147.62/153.01.” 

“Support is seen at 133.01 initially, with 132.71 ideally holding on a closing basis. A break can see a retreat back to 131.49, with better price support seen at the 131.35/25 April/May highs.”