AUD/JPY and EUR/JPY are the two preferred vehicles this morning with AUD/USD up from .7960 to .8000 and USD/JPY up from 95.65 to 96.00. Dealers report some decent sized AUD/USD selling between .8060/90 and as we referred to earlier, there … Continue reading
Equity markets in Tokyo and Seoul are expected to open slightly higher after yesterdays’ sharp falls. The only possible effect on currency markets is if the risk aversion trades from yesterday get unwound but this has probably already happened.
Lots of stops were triggered yesterday in the JPY crosses, particularly in AUD/JPY during Asia and GBP/JPY during early Europe and we now walk in to markets at much higher levels. You can forget about trend and sentiment for the … Continue reading
The move by the World Bank to downgrade it’s global economic growth forecast continues to reverberate in the markets, with Asian stocks getting hit hard overnight. The main beneficiary of the heightened risk aversion has been the yen. USD/JPY is … Continue reading
Weak shorts have covered for small move back up in all the majors with EURUSD bids helping EURJPY recover back up to 132.20. Look for renewed selling interest at 132.50. Watch the 100 hour MA in EURUSD, which comes in … Continue reading
The AUD/USD fell to .7810 and AUD/JPY to 74.50 on heavy long liquidation but strong bids in USD/JPY are repelling all for the moment. The Nikkei is down less than 1.5% and the Kospi just over 2% and this better-than-expected … Continue reading
The S&P fell 3% and the Tokyo market which opens in 20 minutes is likely to open up to 2% lower, based on how the futures have traded. This will increase downward pressure on the JPY crosses.
As I said last week, we have had a 100/200 bullish crossover which is a macro buy signal. We have a bullish trend line of best fit with 5 touches and this line is currently coinciding with a 50% retracement level … Continue reading
Interbank traders tell us that stop-loss sell orders are seen in the 132.70 and 1.3250 areas in EUR/JPY. JPY, CHF and USD are better-bid amid the unwinding of the reflation trade. Oil is below $68, Copper is down 3% and … Continue reading
EURJPY has taken out the initial support area to trade down into the all important 133.00-20 support area as USDJPY sits at the lows of the day so far, sub 95.90. Volumes have increased after a slow Monday morning start.