After the Bank of Japan introduced a negative interest rate policy, most experts were at a loss. Only one analyst believed that USD/JPY would return to the main support of January – 116.50, which happened, thanks to official W. Dudley’s expressed doubts about the raising interest rates in 2016.
Forecast for Upcoming Week
Summing up the views of several dozen analysts from world leading banks and broker companies as well as forecasts based on different methods of technical and graphical analysis, the following can be suggested:
After USD/JPY nosedived last week, it’s clear that all indicators point downward. Considering the ‘war’ of interest rates between the and the Bank of Japan, the experts seem unable to reach a consensus – 35% are for a fall, another 35% are for a rise, and the rest 30% are for a sideways trend in a 116.40-118.25 range.
Roman Butko, NordFX