USD/JPY is still struggling to clear the 137.21 high of September 1998.  But as long as the pair trades above 135.35, it can keep the immediate risk higher, according to economists at Credit Suisse.

Support at 135.35 holding can still keep the immediate risk higher 

“USD/JPY is still struggling to stage a clear break of the 137.21 high of September 1998. While support at 135.35 holds, the immediate risk is seen higher for now and with a multi-year ‘secular’ base completed earlier this year in April, we continue to look for an eventual sustained break higher. We would then see resistance next at 138.26, from which a fresh pause will be looked for.” 

“Big picture, we look for a move to 139.00/10 next and eventually into the 147.62/153.01 zone.” 

“Near-term support moves to 136.56, then 135.93. Below 135.35 can ease the immediate upside bias for a pullback to 134.79/79, potentially 134.27.”