Downward bias continues to pick up pace in USD/JPY comment Economist Lee Sue Ann and Markets Strategist Quek Ser Leang at UOB Group.

Key Quotes

24-hour view: “While we expected USD to weaken yesterday, we indicated that ‘a clear break of last week’s low near 133.50 is unlikely’. USD dropped briefly to 133.73 in early NY trade and then rebounded. USD appears to have moved into a consolidation phase and it is likely to trade in a range of 134.00/135.00 today.”

Next 1-3 weeks: “There is not much to add to our update from yesterday (11 May, spot at 134.20). As highlighted, while downward momentum is building again, the likelihood of USD dropping to 133.00 has not increased much. On the upside, a break of 135.50 (no change in ‘strong resistance’ level) would indicate 133.00 is not coming into view.”