26.03.2015 - The Japanese yen strengthened against the demand for defensive assets

The price of USD/JPY fell sharply amid growing demand for defensive assets amid falling stock markets and the fighting in Yemen. As a result, after some consolidation near the level of 119.50, prices started to decline sharply and reached the strong support level at 118.50. At the moment, quotes rebounded upwards, but the downward movement may continue in the near future with a target at 117.00. We maintain our positive outlook for the medium-term with targets at 122.00, 124.00 and 125.00, but do not exclude a drop in prices in the near future.

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