Citi was out with a note yesterday warning about a deeper fall in USD/JPY on a close below 109.19 and now they’re talking about a much more dramatic decline.
They say a weekly close below 108.26 this week would result in a bearish outside week. They say the pattern last happened in May 2013 and resulted in USD/JPY falling 10 full cents in the following four weeks.
They say something similar could happen, including a test of 100.00.
USDJPY potential weekly bearish engulfing candle
