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Dollar May Drop to 103 Yen Before Bouncing Back, GCI Says: Chart

The dollar’s tumble against the yen is driving it down so fast as to make it ripe for a sudden pullback, according to Tatsuhiro Iwashige, the chief foreign-exchange strategist of the investment solutions group at Tokyo-based hedge fund GCI Asset Management. Fibonacci analysis, a tool used by traders to find key turning points for currencies, shows a slump toward 103.40 is possible, but that such a move may take it toward the limits of its short-term gains. “I wouldn’t recommend selling dollars from current levels around 106 yen, which is the dollar’s bottom this year,” Iwashige said.

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