USD/JPY trades in eight-month lows heading to 101.18 – Commerzbank

USD/JPY has dropped to eight-month lows and Karen Jones, Team Head FICC Technical Analysis Research at Commerzbank, is targeting the 101.18 mark.

Key quotes

“USD/JPY has eroded the 104.00/20 lows and the 200-month ma at 103.94.” 

“The market is in eight-month lows and the sell-off has already reached the 103.43/78.6% Fibonacci retracement which is regarded as the last defence for the 101.18 March low. We may see this hold the initial test, however, any rallies will now find that the previous support at 104.00/20 acts as strong resistance.”