USDJPY LongTrump and Comey news has caused dollar to tank. But I believe the USDJPY will bounce off current support to head back to the upside to try the 115 area again.
Usdpy
Update on USDJPYHello everyone we were able to sell UJ right at the top and the price made a pullback just the way I predicted on my last update. Now I am expecting the price to go higher and looking to sell close the upper trendline.
Heres a video analysis on this setup
www.youtube.com
Cheers
USDJPY Triangle Breakout! Ride It To The TopHey Traders! USDJPY has completed a triangle at the end of wave-(B), alternatively wave-2. This move has potential to find T2. Stop is very tightly placed behind wave ii pullback on a lower TF. Will update as the breakout unfolds. Happy trading!
$USDJPY Strong bullish strength continuesTechnical :
Strong bullish trend still in tact. We had a few tests of New Support/Previous resistance. (121.80 area)
Looking for a clear break of 122.00 to continue the slow rise to 124.00 area.
Fundamental:
BOJ states no clear end in sight for easing -
"Strengthening monetary easing too much to push up
inflation in short period will threaten economic, price stability. 2 % inflation target a flexible one"
A like on the chart is appreciated.
1) Japan GDP data came out 1.5% q/q verse 2.2%.
2) Business spending unexpectedly dropped by 0.1%
3) Previous sales tax hike (from 5% to 8%) is causing Japanese firms cut investments.
4) Japan’s economy needs to boost economic activity by more investment, which would lead to better employment and higher wages. This is the only way to boost spending and achieve 2% inflation target in the mid-term.
5) BoJ’s policy outlook can only remain dovish in the absence of other solution. Injection of liquidity is currently not working.
Overall strong data releases is keeping the dollar supported at these levels. The market currently is not worried about Inflation risks as the Fed is still on course to hike by June.
Fall in U.S. retail sales gave the market a reason to sell off the dollar. We saw a small dip but it was bought up again.
