Forex Flash: USD/JPY buy on dips – Rabobank

FXstreet.com (Barcelona) - The cross is resuming its upside on Thursday, with the Japanese yen depreciating to the area of 98.35/40 against its American counterpart, against the backdrop of the G20 meeting starting today.

In the opinion of Strategist Jane Foley at Rabobank, the aggressive depreciation of the yen in recent weeks logically prompted traders to revise up their estimates for the cross, although the recent bouts of risk aversion saw once again the investors’ preference for the safe haven JPY.

“Given the headwinds that are currently limiting yen weakness we expect further consolidation in USD/JPY near-term. We would look to buys dips in the USD/JPY 96.50 area”, Foley concluded.