Forex Flash: USD/JPY, move to 95.00 more likely than return to 88.00 - RBS

FXstreet.com (Barcelona) - According to Greg Gibbs, FX strategist at RBS, "It is likely that we are now moving into a phase in this move where more of the longer term players, Japanese investors and corporates start to step up their interest to sell JPY."

The low on the day after the BoJ meeting is likely to be the major technical level, he says.

"Long term players will have shifted their bias towards buying since that meeting and will be looking to pick it up from 88 to 90, while short term players will be looking to buy on dips towards 90" he notes.

Greg adds: "Our bias remains to sell JPY, though the market will be reluctant to chase it, having moved so far so quickly. A period of stability seems likely; base-building in the 88/90 region. Over the next month a move towards 95 seems more likely than a move below 88. We would favour buying near 90."