Citi FX: buy USD/JPY
Citi FX analysts see a clear break of the reverse "head and shoulders" neckline and a 55-day MA at 102.02/22. In their view, this break open the way for a rally to 103.50.
"The next big level above there is 104.13 (April high and double bottom neckline). A close above there would likely send USD/JPY to 107.50, especially if we are going to see higher US yields (as expected) and a higher Nikkei 225 (also as expected)," Citi adds.