The Japanese yen jumped higher overnight as the BoJ announced trimming longer-dated JGB purchases. This decision was viewed by the market as the first small step towards the monetary policy normalization in the country at a time when other major central banks are about to start reducing stimulus.
In a knee-jerk reaction, the USDJPY pair dropped 0.5% and touched...
A bearish shooting star candle has formed at resistance (137.000) Along with the RSI showing the market is overbought and 10 and 20 EMA distant from price indicating a pullback would be likely. If price breaks 137.000 this would negate my short term bearish outlook.
ENTRY - 136.000
SL - 137.000
TP - 135.000
RISK TO REWARD - 1:1
Along with upcoming events the head and shoulders shows a high potential for a secure long sell position against the Yen.
I would sell upon the confirmation of the right shoulder. I will post a clear signal once the shoulder fully forms and continue on the reverse of the trend.
Showing that this coming last quarter of the month is the remaining shoulders of this year of the pair. I believe that there will be at least two positions to instant buy due to the previous months and SMA. I believe that going short on these will provide the best risk management lowest of 1% , if wanting to go long for the duration will mean larger margin effort...
ChfJpy Daily chart - I see price trading in a bullish wedge/flag consolidation pattern on daily chart but the main trend is bullish so I am anticipating a break out and a bullish impulsive move on this pair over the coming weeks.
USD/JPY had been growing since Tuesday before it settled above the 112.00 level. One of the reasons for the recovery, apart from the approval of the tax cut bill, was a technical correction.
But today we see another decline. As usual, USD lost some points due to weaker Treasury yields. But, also, the market is now concentrated on the Fed’s monetary policy path...
EURJPY pair has failed to break through the major resistance at around 134.50 and what it seems to be turned back down.
At about 133.22 we are expecting correction up to 0.5 fibo and another drop down to 131.70 area as a target.
Alternatively, if 133.22 support holds, EURJPY will be retesting resistance 134.50
Having spent almost three weeks above the 113.00 level, the Yen took up the reins and added almost 100 points to the bulls’ ‘money box’. Again, it means the markets are not sure in the US dollar, and the December rate hike has already become a broken record. So, it is not enough to live up to USD’s advanced hype. The traders are way more interested in FOMC’s...
Very bearish pair. We can see price just above the 111.000 support zone, here we could see a retracement back to 111.900s and coincidentally between the 50% - 61.8% fib levels before we see a continuation to the downside to 110.100 or beyond.