JPY news

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USD/JPY a few pips away from a seven-week low after breaking 110.00

The sign of a struggling market is when it can't get any momentum on good news and gets beaten up badly on any sign of bad news.

The bad news for the dollar today was the ISM non-manufacturing survey missing expectations at 53.9 compared to 56.9 expected. The index is well-into healthy territory but the dollar bulls really need to sign some signs of a pickup in growth and inflation.

USD/JPY forecast for the week of August 7

The US dollar initially fell against the Japanese yen during most of the week, but found the 110 level to be supportive enough to turn around and form a hammer. The hammer of course is a bullish sign, and if we can break above the top of the bullish sign, we will probably go towards the top of the shooting star from the previous week. The 110 level of course is very important, so it makes sense that a lot of attraction would have been geared towards this level. Part of the massive bullish move was due to the jobs number on Friday, being much stronger than anticipated and that of course suggests that the Federal Reserve is going to be more likely to raise interest rates.

USD/JPY Declines To 8-Week Lows, Critical Support In Play

Ongoing concerns regarding the US and North Korea have had market participants fleeing to safe haven assets, sending USD/JPY sharply lower.

The Japanese yen was the worst performer in European trading, declining against all of its major counterparts. NZD/JPY, the biggest decliner among the yen pairs, was last seen trading at a loss of 1.55%, weighed by both a stronger yen and Kiwi weakness following the RBNZ press conference.

USD/JPY forecast for the week of August 14

The US dollar fell against the Japanese yen during the week, slicing through an uptrend line. However, there is a lot of noise in this area, and I also believe that a lot of this comes down to noise coming out of North Korea. There is a significant amount of support at the 108 level, and I think that if we turn around and break above the 110 level, it’s likely that the market could rally towards the 115 handle. Alternately, if we break down below the 108 level, the market could find itself reaching towards the 105 handle. Currently, looks as if the sellers are more or less in control, but this could turn around almost immediately if tensions settle down in Asia.

USD/JPY forecast for the week of August 21

The US dollar initially rallied against the Japanese yen in a bid to maintain some support. However, the week ended up forming a rather negative looking candle, suggesting that perhaps we could breakdown. If we sliced below the 108 handle, the market could go lower, perhaps reaching towards the 105 handle. Ultimately, this is a market that I think continues to see serious bearish pressure, and therefore I think it’s not until we break above the 110 level that you can consider buying this market. Pay attention to the overall attitude of financial markets worldwide, as this pair tends to fall in times of fear.

USD/JPY: Key Support Likely To Hold Absent An Equity Correction; Levels To Watch

NAB FX Strategy Research notes that the deterioration in the broad market landscape suggests USD/JPY near term risks are still tilted to the downside.

In that regard NAB thinks that key support levels around 108.13 could be tested and hold in the near-term.

"We think USD/JPY is likely to trade in a ¥108-¥111 range over the near term; however we remain wary of an equity correction opening the door to a move down to ¥106.38 (61.8% retracement from June 2016 low).

Looking further out in time, NAB remains convinced USD/JPY will trade higher over the coming six to twelve months, amid a BoJ committed to Yield Curve Control and a positive outlook for UST yields to head higher

As such, NAB has made minor tweaks to its USD/JPY targets and now sees the pair ending 2017 at 116 (118 prev), and reaching 118 in Jun-18 (120 prev)," NAB argues.

source ...

Re: JPY news

I admire Japan and the Japanese people. Not very "business" like reason but that's why I trade jpy, and of course the stable and fast growing economy

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