One way to increase confidence in the long USD/JPY position would be to look towards confirmation in the main Japanese stock index, the Nikkei 225. Historically, the Nikkei 225 performs best when the Japanese Yen is weakening. The …
Are they right? Let’s see the chart below and check it out. Chart 1: The price of gold (yellow line, left axis, London P.M. Fix, weekly average) and the EUR/JPY (red line, right axis, weekly average) exchange rate from January 1999 to May …
Evidence of long USD/JPY exposure being added post Fed…. In Liquid Cross Border Flows, 17 June 2013 BAML highlighted that continued reduction of hedge fund long positioning would be necessary to extend the correction in …
Talking Points: In our last article, we looked at the retracement of the previously overbought bullish trend in EUR/JPY. After the pair had shown indications of ‘topping out’ in the week prior, sellers finally grasped some element of control in …
JPY strength continues into the close of February and in anticipation of President Trump’s speech that will be analyzed for details on the timing of stimulus that could revive the reflation trade. There is a strong positive correlation to yields of US ...
The week begins, and we have our first two big losers. Both the pound (here) and the yen (here) are gapping lower in early currency trading. What's going on? In the U.K., this is a reaction to the downgrade. And in Japan, this is a result of the …
JPY strength, alongside EUR strength, has become the lead story after the Federal Reserve’s Dovish Hike in mid-March. On Wednesday, the Japanese Yen surged to the highest level (which took USD/JPY lower) of 2017, and it’s uncertain …