Even though the USDJPY parity remained calm before the FOMC minutes on June 19 and the BoJ meeting on June 20, it remained the negative trend. 109.12 and 107.85 levels are important for the exchange rate, which tries to maintain its short-term response purchase considerations on 107.85 – 107.50 region in a weak profile.
Main Scenario: USDJPY parity continues its negative outlook under the 109.12 barrier, which is the top of the downtrend. If the parity continues to trend expectations, it may retreat to 107.85 and 107.35 support. In particular, the downward breach of 107.85 may accelerate the pressure of sales and strengthen the possibility of withdrawal towards the current downtrend 107.35 – 106.85. Otherwise, 109,12 – 107.50 compression can be monitored.
Alternative scenario: Movements over the resistance point 109,12 should be followed in order to end the negative expectation for USD JPY parity and a positive outlook can be placed in the forefront. However, with this condition, new pricing towards 109.70 and 110.23 and 110.88 levels can be followed.
Support: 107,85 – 107,35 – 106,85
Resistance: 108,58 – 109,12 – 109,70