Flash: USD/JPY extending gains - BBH

FXstreet.com (London) - Research teams at BBH said the dollar has extended its gains against the yen to JPY98.70, the highest since Oct 1.

Key Quotes:

“Last Tuesday, the dollar had flirted with its 200-day moving average (that came in near JPY96.73)”.

“With today's gains the dollar is recouped half of the ground lost since the Sept 9 high near JPY100.60, which was the last time the greenback was above JPY100”.

“The next retracement objective is just above JPY99.00. We note that the US-Japan 10-year differential is gradually widening after reaching almost 190 bp, a two-month low at the beginning of Oct. It is now moving above 205 bp”.

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