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JPYUSD

FED has to lower Rates or face Emergency QE.(Not a game) Jerome Powell lied to say he raised rates due to "Inflation", this was a great cover however he clearly saw the USDJPY crisis coming like I saw from last year. (Inverted Charts) The DXY Rising + the USDJPY rising will unwind the carry trade that will sell off the majority of people holding US bonds via Japan. This will force the FED to initiate YCC locally. Japan CANNOT keep rates low at this point or they will enter the no way out hyperinflation by 2025. America CANNOT rise rates increasing the USDJPY past the point of no return (currently at 160) Yes we are at 151 and the complete fail point is 160. Everyone has been expecting a recession, where is it? Everyone is expecting a rate hike, will the FED do it? Path 1 -- FED Hike or Hold, USDJPY falls below the point of no return, Japan is now forced to try raise rates while restarting YCC + Stimulus (at this point the Yen is now a failed currency and it could lead to mass political instability that causes a carry trade sell off) Path 2 -- FED lowers rate's, USDJPY starts to revert pressure on the Japanese currency (at this point the FED is now taking the hit of debasement to try stabilize Japan). Our financial system has been sick since the gold depeg, it has gotten sicker after 2009, 2020 has put us into critical times. I wish this was real but we are at the end of the MMT cycle. The US is forced into a corner to not raise rates to deal with risk markets rising while DEBT interest + US Gov to DEBT ratio make's raising rates unaffordable. Japan after WW2 has become the YCC hub for America and rightfully so it worked due to the innovation that came out of Japan that brought them enough wealth to forget this policy. This is the part where if Jerome Powell say's the wrong thing today, it could be time to exit majority of capital from the legacy system for future protection. Capital Controls? Communism? Banking Limits? Spot Bitcoin ETF limitations? Executive Order 6102? I'm genuinely concerned that majority of people want rate hikes that will destabilize the entire world due to debt and cause a communist style global financial shutdown to contain the disaster. What a failed monetary policy era we live in.
by FederalXBT
Yen Futures: Resale of Call options 0.006850 Bearish SentimentThe targets set for the Yen on February 19th have almost been reached. The uptrend still has a small potential to reach target number 2, but after that the Yen's downtrend will most likely continue. This is supported by COT reports and activity in option portfolios, which were formed on February 29 (at the local minimum) on the CME exchange. The prices of futures and volatility have increased. Stated that someone BIG and WELL INFORMED market participant is profiting from reselling 0.00685 call options without waiting for them to become ITM (in-the-money). Can you guess why?)
CME:6JH2024Short
by ClashChartsTeam
USDJPY BUY USING PO3 ? (market cycles)hello guys i hope you are having a good week , today i am looking at USDJPY this weekly candle on usdjpy closes as a hammer looking like candle indicating buy. for the daily tf the price started consolidating for a while now (accumulation) , since friday candle closed as inverted hammer am guessing monday we are going to see a red candle possible the candlle that will do the manipulation. my point of interest is the Orderblock/Demand zone on the 1Dtf i will llook for entries in that area it also serves as a rejection block we can see a candle leaving a big whick in that area. but i have to be careful since the price is on the 150 zone this zone is notorious because of the manipulations caused by bank of japan in that price range it is also a psycological level that the price has been testing for a while now so my tp will not be crazy . keep in mind very very action packed week ahead trade safe !
Long
by xAB777
Will Yen Tank to New Lows?The Japanese Yen is one of the worst performing currencies in 2024. It has weakened 5.4% against the USD. Forces have been stacked against Yen ever since the US Federal Reserve started raising interest rates at a record pace. In sharp contrast, ultra loose monetary stance from the Bank of Japan (BoJ) resulted in wide policy rate differential of 5% between short-term interest rates in both countries, which has contributed to Yen weakness. The Yen made a recovery in December driven by a dovish Fed and hopes of BoJ exiting its ultra-loose policy in 2024. Yen rose to levels unseen since June 2023. However, thus far in 2024, the Yen has weakened as recent developments have cemented the need to maintain current loose monetary policy in Japan. An Earthquake that struck Japan at the start of the year caused infrastructure damage. Stimulus will be required to fix that. Inflation in Japan is retreating to BoJ’s target range rapidly. Consequently, the central bank may see no rush to start hiking rates given uncertain recovery in economic growth. This paper describes various forces at play and establishes a hypothetical trade setup using CME Japanese Yen futures to harness gains from weakening Yen. BOJ’s MONETARY POLICY MAY STAY LOOSER FOR LONGER 1. Aid for Earthquake Relief: On January 2nd, a severe earthquake hit near Japan's Ishikawa prefecture , causing widespread destruction, damaging over 4,000 homes. The area continues to experience aftershocks, adding to the damage. Moody’s RMS predicts insured losses from the earthquake could be between USD 3 billion and USD 6 billion. In response, Japan's Prime Minister Fumio Kushida plans to double earthquake relief funds to USD 7 billion in the next fiscal year to aid recovery efforts. Given the economic fallout, the BoJ is likely to maintain its lenient monetary policy in the near future. 2. Cooling CPI: Japan’s most recent CPI figures showed inflation cooling to 2.6% in December from 2.8% in November. That is the lowest reading since July 2022. Core CPI, which excludes fresh food, a measure referenced by the BoJ, fell to 2.3% from 2.5%. Inflation excluding fresh food and energy was 3.7% YoY, which was also lower compared to November’s 3.8%. The core CPI reading is just a hair above BoJ’s target range of 2%. Inflation was driven lower by decline (11.6% YoY) in energy costs. The large drop was due to base effects of high energy prices last year. Services inflation remained unchanged at 2.3% fuelled by higher wages. That is positive news for the BoJ which aims to establish sustainable domestic-demand & wage-growth driven inflation. With wage hikes from the Shunto negotiation in March-April still undecided, the BoJ is unlikely to pre-empt the exit from loose policy. Therefore, the next two policy meetings are unlikely to lead to a policy shift. BoJ Policy Meeting calendar ( BoJ ) FED POLICY MAY NEED TO REMAIN TIGHTER FOR LONGER Meanwhile, concerns are plenty in the US too. Inflation rebounded in December. Core inflation remains strong. Robust retail sales suggest consumers are resilient and still spending. Jobs data from December was healthy. Recent jobless claims points to further strength in the labour market. Put together, the Fed will not rush to cut rates as markets expect. This is exemplified by diverging market and Fed expectations for rate path. According to CME FedWatch tool (as of 22/Jan), markets are expecting 5 rate cuts in 2024 while Federal Reserve's dot plot suggested only 3 rate cuts would take place. Both factors, from Japan and the US together, suggest fundamental Yen weakness and these conditions are expected to persist for longer. YEN INTERVENTION WARNING Despite the fundamental weakness, there are risks from betting against further Yen weakening. As the currency weakened rapidly past 148/USD, the Japanese Finance Minister, Shunichi Suzuki, stated that the government is closely watching developments in the currency markets. He stressed the importance of stability and that market movements should reflect economic fundamentals. Likelihood of intervention remains high and its impact on the Yen has been discussed previously . MARKET METRICS Options market activity points to a contrasting trend. Recent open interest change in CME Group Japanese Yen options have been tilted towards higher calls signalling hopes of Yen strengthening. Overall positioning points to a similar contrary trend. CME Group Japanese Yen options OI change between 11/Jan and 19/Jan ( QuikStrike ) Despite the recent rally, implied volatility has not spiked significantly. They remain well below the highs seen in mid-December around BoJ’s policy meeting. Moreover, options skew remains elevated from its lows observed in late-October when the sentiment around Yen was heavily bearish. CME Japanese Yen options CVOL index and options skew ( CVOL ) HYPOTHETICAL TRADE SETUP The BoJ is unlikely to exit its loose policy stance any time soon against the backdrop of rapidly slowing inflation and uncertain economic outlook. In the US, a rebound in inflation might delay Fed’s rate cut decision. Collectively, this points to fundamental Yen weakness. To limit downside exposure in case of intervention by Japanese officials in currency markets, a tight stop can limit losses. The below hypothetical trade setup suggests a short position in CME Group Japanese Yen futures expiring in March (6JH2024) that provides a 1.55x reward to risk ratio. CME Group Japanese Yen futures have maintenance margin of USD 2,600 and provide exposure to 12,500,000 Yen. • Entry: 0.0068115 • Target: 0.0066000 • Stop Loss: 0.0069500 • Profit at Target: USD 2,643 (68115 – 66000 = 2115 pips x 1.25) • Loss at Stop: USD 1,731 (69500 – 68115 pips = 1385 pips x 1.25) • Reward-to-Risk: 1.55x MARKET DATA CME Real-time Market Data helps identify trading set-ups and express market views better. If you have futures in your trading portfolio, you can check out on CME Group data plans available that suit your trading needs www.tradingview.com DISCLAIMER This case study is for educational purposes only and does not constitute investment recommendations or advice. Nor are they used to promote any specific products, or services. Trading or investment ideas cited here are for illustration only, as an integral part of a case study to demonstrate the fundamental concepts in risk management or trading under the market scenarios being discussed. Please read the FULL DISCLAIMER the link to which is provided in our profile description.
CME:6J1!Short
by mintdotfinance
USDJPY | COULBE A GOOD SELL?Hey Traders! Got a bit of a challenging one for us today. The market's been on a steep downtrend, but recently, it showed signs of upward movement after the release of somewhat positive PMI news for the dollar. Despite these dynamics, I'm sensing a potential drop of 60-100 pips. The currency is hovering around a monthly pivot line, and the 200-day moving average is looming over the daily timeframe. These factors alone make a compelling case for entry. It's a tough trade, no doubt, but too intriguing to skip. My take? Go for it, but consider trading with a smaller lot size. Remember, this is a pullback trade, so we're not fully in sync with the trend 📈✅
Short
by FX-TradingLions
USD/JPY: Yen Strengthens Amid Policy ExpectationsThe Japanese Yen gains support from anticipated BoJ policy shifts, fostering a safer environment and limiting USD/JPY within lower USD demand. Investor focus on US economic data before FOMC minutes remains crucial. Technically, breaching the 200-day SMA signals a USD/JPY downtrend. Daily chart indicators suggest potential further losses. Any upward movement could prompt selling near 142.00, leading to short-term profit-taking around 142.40 and targeting the 200-day SMA at 143.00. Support lies at 141.00, guarding against declines toward recent lows near 140.25 and the psychological level of 140.00. A firm break below 141.00 may accelerate a decline towards 139.35, aiming for levels near 139.00, 138.75, and 138.00 (the July 28th low).
by Larissa-Trader
USD/JPY Approaches 141.30, Extending Two-Day Decline USD/JPY continues its downward trend for the second consecutive session, trading below the 141.30 level during the Asian hours on Thursday. Improved trade data from Japan in November has exerted pressure on the currency pair. However, less optimistic remarks from Bank of Japan Governor Kazuo Ueda may weigh on the Japanese Yen. From a technical standpoint, the spot price indicates potential recovery below the 142.00 level and appears to have broken the two-day decline. This suggests that breaking below the 200-day Simple Moving Average (SMA) is crucial support for bearish traders. Furthermore, oscillators on the daily chart remain deeply in negative territory, indicating limited resistance for USD/JPY on the downside. Any subsequent upward movement may still be viewed as a selling opportunity and is likely to be capped around the 142.75 level (200-day SMA). This implies that further buying activity leading to a move beyond the 143.00 level could trigger short-covering actions, allowing the bullish camp to reclaim the 144.00 milestone. On the flip side, weakness below the Asian session's lowest levels around the 141.90-141.85 region would reaffirm the short-term trend and make USD/JPY susceptible to retesting below the 141.00 level, or the multi-month lows touched last week. Subsequent declines could potentially pull the spot price towards the intermediate support at 140.45 on the way to the psychological level of 140.00.
by AdmamTrade
Japanese Yen Weakens on Soft Inflation, BoJ Policy UncertaintyThe Japanese Yen (JPY) faced a decline after softer domestic consumer inflation data, raising uncertainties about the Bank of Japan's (BoJ) potential policy tightening. BoJ's October meeting minutes revealed a consensus to maintain the accommodative policy, contributing to JPY weakness. The USD/JPY pair saw a modest recovery from weekly lows, supported by the USD's modest strength. Japan's core CPI remains at 2% for the 20th consecutive month, and optimism about future wage growth suggests a potential shift in BoJ's stance. However, the market anticipates a more positive U.S. Federal Reserve (Fed) policy easing in 2024, influenced by the U.S. Q3 GDP report. Investors are now watching the U.S. Core PCE Price Index for further guidance on USD/JPY short-term direction. Despite this, the fundamental outlook leans towards JPY strength, indicating a downside bias for the currency pair.
by Larissa-Trader
Japanese Yen Retreats on Soft Inflation, USD StrengthensFrom a technical standpoint, spot prices indicate a potential rebound below the 142.00 level, seemingly breaking the two-day downtrend. This suggests that the overnight break back below the 200-day Simple Moving Average (SMA) is crucial support for bearish traders. Furthermore, oscillators on the daily chart remain firmly in negative territory, indicating minimal resistance for the USD/JPY pair on the downside. Therefore, any subsequent upward move may still be considered a selling opportunity and remains capped near the 142.75 level (200-day SMA). This implies that further buying activity, leading to a move beyond the 143.00 mark, could trigger short-covering actions and allow the bullish camp to reclaim the round figure of 144.00 in the short term. On the flip side, weakness below the intraday low around the 141.90-141.85 region would reaffirm the short-term trend, making the USD/JPY pair vulnerable to a retest of the sub-141.00 level or the multi-month lows touched last week. The subsequent decline could potentially drive spot prices towards intermediate support at 140.45 on the way to the psychological milestone of 140.00.
by Larissa-Trader
Bitcoin Bull Run Unleashed: Navigating Fractals to 71KFinancial Analysis: Bitcoin ( BITSTAMP:BTCUSD ) - December 19, 2023 Disclaimer: This analysis is based on publicly available information as of the provided date and is subject to change. It should not be considered as financial advice. Readers are encouraged to conduct their own research before making investment decisions. Market Overview In our latest analysis, we revisited the fractal patterns emerging in late 2015 to gain insights into the current market situation for Bitcoin ( BITSTAMP:BTCUSD ). After confirming a breakout above the daily support line and the 3D Candle Fibonacci level of $41,989, we anticipate a potential breach of the daily resistance level at $43,578. Upon confirmation, the market is expected to exhibit further bullish momentum, targeting the weekly resistance of $44,950.01. Macroeconomic Factors Recent positive developments in Europe, coupled with a rise in Deutsche Bank shares, have contributed to a favorable market environment. Additionally, last week's Federal Reserve news has had a positive impact on safe-haven assets, with gold experiencing a 0.74% increase since the previous week's close. The EURUSD markets also moved positively by 0.10% today. These factors, combined with growing money flow and smart money movements toward Bitcoin, suggest a positive outlook for the cryptocurrency. Price Targets and Analysis The identified take-profit level at the 50% Fibonacci retracement level, around $46,600, is expected to be reached effectively. Subsequently, we anticipate further momentum towards a liquidity gap at approximately $47,700, as late investors enter the market following a significant price move. Global Market Dynamics A notable observation is the potential twist on the horizon for FX_IDC:JPYUSD , mirroring the trend in FX:EURUSD and indicating a probable market reversal. Our analysis and FX:EURUSD Long , outlined in a previous report, aligns with the expectation of significant market corrections, possibly substantiating Michael Burry's theory of a possible US market crash. Bitcoin's Unique Position Bitcoin's independence from the USD is highlighted as a key factor in its purchasing confidence. As the US Dollar experiences a downturn, Bitcoin appears to be gaining traction as a safe-haven asset. It's important to note that Bitcoin's behavior is distinct from traditional financial assets, with its algorithm, including the relevance of mining rates, prevailing above potential correlations to other stocks or currencies. Quantitative Analysis Our proprietary market quantization indicator, W.ARITAS , is signaling a significant buildup of bullish momentum for future Bitcoin prices. However, it is crucial to acknowledge Bitcoin's tendency for significant corrections following large bullish movements. Notably, there are unfilled CME gaps at $34,000 and $28,000 , which may need to be addressed before the cryptocurrency can reach new highs, potentially at $71,000 . Conclusion In conclusion, the current market analysis suggests a favorable environment for Bitcoin, with positive macroeconomic indicators, technical breakout signals, and increased purchasing confidence. However, investors should remain vigilant and consider the potential for corrections, as observed in Bitcoin's historical price behavior. Additionally, global market dynamics, including the possible implications of a USD downturn, should be closely monitored for their impact on Bitcoin's performance.
COINBASE:BTCUSDLong
by wikitrades
"USD/JPY: Japanese Yen Halts Decline, Eyes US CPI Data"The Japanese Yen regained positive momentum in the Asian trading session on Tuesday. USD/JPY partially eroded some of the strong recovery seen in the past two days. Investors are awaiting the US Consumer Price Index (CPI) for fresh impetus ahead of the FOMC meeting on Wednesday. From a technical standpoint, USD/JPY showed a certain degree of recovery last week at the crucial 200-day Simple Moving Average (SMA). The subsequent move exceeded the 23.6% Fibonacci retracement of the recent decline from the vicinity of 152.00, or the YTD high, supporting bullish sentiments. However, the sharp rise during the day halted near the 200-hour SMA, now closing around the 146.50 level. This area will now play a crucial pivot point, and clearing it would allow the price to test the 50% Fibonacci level, around 146.80, and reclaim the 147.00 milestone. Meanwhile, oscillators on the daily chart are deep in positive territory, supporting the potential for some upward action at higher levels. This suggests that the resistance at the 100-hour SMA, around 145.85, may now act to defend the downside just ahead of the psychological level of 145.00. Further selling pressure could push USD/JPY back towards the intermediate support zone of 144.55-144.50 on the way to the 144.00 mark. A convincing break below this level would be considered a strong bearish catalyst, paving the way for deeper losses. On the other hand, the Japanese Yen (JPY) extends its downward trend for the second consecutive day, pushing the USD/JPY pair towards the 146.00 level during the European trading session on Monday. A report on Friday suggested that comments from Bank of Japan (BoJ) Governor Kazuo Ueda last week were misunderstood, and the central bank will maintain the status quo until positive wage inflation begins. This comes alongside weaker-than-expected GDP reports from Japan, indicating the domestic economy remains fragile and expectations of imminent rate hikes may be inflated. Conversely, the US Dollar (USD) attracts some renewed buying interest after betting on an early Federal Reserve (Fed) policy easing was scaled back, proving to be another supportive factor for the USD/JPY exchange rate. Friday's closely watched US employment figures showed a rapid growth pace in November, with the unemployment rate dropping to 3.7%. This indicates signs of underlying strength in the labor market and suggests that current market pricing for a rate cut in March 2024 may be premature. The recent sharp upward move seen around the USD/JPY pair in the past hour may be attributed to some technical buying based on sustained strength beyond the 100-hour Simple Moving Average (SMA). This suggests that concerns about a deeper global economic downturn and geopolitical risks may limit losses for the safe-haven JPY and restrict any further upside moves for the currency. Traders may also limit strong bets ahead of this week's significant event/data risks - US Consumer Price Index on Tuesday and the crucial FOMC policy decision on Wednesday."
by Larissa-Trader
USD/JPY Weakens on Fed Rate Cut Speculation and BoJ PivotThe Japanese Yen has surrendered recent gains against the US Dollar amidst speculation of a Fed rate cut in March and a shift in the Bank of Japan's (BoJ) policies. Despite a day-end recovery, USD/JPY experiences one of its worst trading days in over a year, dropping below 142.00 and closing just above 144.00. Despite the intraday recovery, USD/JPY had one of its worst trading days in over a year, slipping below 140.00 in November last year. Throughout Thursday's trading session, USD/JPY transitioned from a slight decrease to a drop below the 200-day Simple Moving Average, requiring significant progress for a recovery towards the 147.00 handle. The 50-day SMA is currently positioned higher than the price action on Thursday, pushing towards the 114.90 region. Expectations of a Fed rate cut weigh on the US Dollar There is growing speculation that the Federal Reserve has concluded its rate hikes and will commence a rate cut in March, putting pressure on the US Dollar. In contrast, the Bank of Japan is expected to move away from extremely loose monetary policy in the coming months. This, coupled with risk aversion sentiment, offsets the safe-haven appeal of the Japanese Yen. USD/JPY witnessed a more than 4% decline on Thursday, quickly dropping below 142.00 before larger markets staged a modest recovery, pulling the Japanese Yen (JPY) back into a reasonable price range. USD/JPY closed Thursday down by around 2%, while the Yen entered Friday's market session in the green for the week. The Yen saw a broader market recovery following unconventional comments from Bank of Japan Governor Kazuo Ueda, unexpectedly hinting at the eventual end of BoJ's negative interest rate policy, possibly in the early part of next year.
by Larissa-Trader
"JPY Surges to Three-Month High Against USD"The Japanese Yen extended its robust upward momentum against the US Dollar on Friday and kicked off the new week with a positive sign, pulling the USD/JPY pair to a nearly three-week low around the 146.25-146.20 range during the Asian trading session. The US Dollar is attempting to recover from its lowest point in two and a half months at 146.65, supported by a slight rebound in US Treasury yields, which is exerting pressure on the Japanese Yen. On Thursday, New York Fed President John Williams suggested that interest rates could reach their highest point, supporting this perspective. In this context, the analysis of Fed Chairman Powell's conference later today will be closely scrutinized to evaluate the central bank's next steps. On the other hand, growing expectations that the Bank of Japan may move away from its extremely accommodative monetary policy by 2024 are providing some support for the JPY. From a broader perspective, this currency pair maintains a downward trend from its mid-November high near 152.00, with a resistance level at 148.75 likely to limit the upward movement before the late November peak at 149.75. Support levels are identified at 147.77 and 146.65.
by Larissa-Trader
Japanese Yen's Caution Amid USD/JPY Trends and US PCE DataThe Japanese Yen continues to exhibit relative strength amid hawkish expectations from the Bank of Japan (BoJ). Bets on a series of Fed interest rate cuts in 2024 are dampening the USD and weighing on USD/JPY. Bearish speculators are becoming cautious, eagerly awaiting the release of the US Personal Consumption Expenditures (PCE) Index data later this Thursday for fresh market impetus. From a technical perspective, USD/JPY has shown potential for a recovery below the 100-day Simple Moving Average (SMA), signaling caution for trend-following traders. This indicates that daily chart oscillators are deeply entrenched in negative territory but still far from oversold levels. Conversely, this suggests that the path of least resistance for spot prices remains downward, and any meaningful recovery attempts could be viewed as selling opportunities. Meanwhile, Wednesday saw the USD/JPY touch multi-month lows around the 146.65 region, seemingly defending immediate weakness. Below this level, USD/JPY could swiftly push the downside momentum towards the psychological 146.00 mark. On the flip side, the 147.30-147.35 region may act as an immediate barrier ahead of the high overnight volatility, around the 147.90 area and the 148.00 mark. Any further upward movement may attract new sellers and remains constrained near the strong horizontal support-turned-resistance level at 148.30. In summary, caution prevails in the face of the Japanese Yen's bullish trend, with the focus shifting to the US PCE data for potential market catalysts. Technical indicators suggest a bearish bias for USD/JPY, with key support and resistance levels influencing the near-term trajectory.
by Larissa-Trader
USD/JPY Hits Six-Week Low Near 148.50, Faces Key SupportThe USD/JPY pair remains under selling pressure for the fourth consecutive day, reaching its lowest point since October 4 during the Asian trading session on Tuesday. However, the spot price has slightly rebounded in the past few hours and is trading around the 148.00 level. USD/JPY continues to trade near its lowest level in six weeks, extending losses to around 148.90 in the early European trading session on Monday. The key level of 148.50 emerges as immediate support, aligning with the Fibonacci retracement level of 23.6% at 148.49. The 14-day Relative Strength Index (RSI) below 50 signals a bearish sentiment, potentially inspiring bearish moves towards the support zone around 146.50, followed by the Fibonacci retracement level of 38.2% at 146.37. Moreover, the Moving Average Convergence Divergence (MACD) line is positioned above the centerline, showing divergence below the signal line, often indicating a downward price trend. This configuration suggests that the short-term moving average (MACD line) is moving further away from the long-term moving average (signal line) in a downward direction. On the flip side, the psychological level at 150.00 may act as a significant barrier, corresponding with the 9-day Exponential Moving Average (EMA) at 150.34. A breakthrough above this level could support a USD/JPY rebound towards last week's high at 151.90.
by Gwen_Humuna
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