UOB analysts shift to a neutral outlook for the pair, citing diminished downward momentum and a defined trading band.
The USD/JPY pair remains range-bound between 157.90 and 159.80 as earlier downside pressure eases, according to recent analysis. Intraday trading is expected to stay within a tighter band of 158.80 to 159.45, reflecting a slightly firmer tone.
Last week, the pair traded between 158.33 and 159.13, closing nearly unchanged. A prior downside bias has faded, with momentum no longer supporting a sustained decline. The revised outlook now favors sideways movement rather than further losses.
Market reaction has been muted, with the pair closing little changed at 159.08 after oscillating within a narrow range.