All Articles Tagged - USDJPY

Technical Analysis – USDJPY struggles within SMAs after bullish doji

Posted on January 19, 2022 at 8:19 am GMT

USDJPY is hovering within the 20- and 40-day simple moving averages (SMAs) after the bounce off the 113.45 support level that posted on Friday, creating an impressive spike. If the price jumps above the 20-day SMA, it could confirm a bullish doji pattern which is behaving as a reversal formation. Regarding the technical indicators, the MACD is weakening in the positive area, below its trigger line, while the RSI is sloping marginally down in the negative region, both suggesting the [..]

Daily Market Comment – Stocks roll over, dollar steady, oil storms higher

Posted on January 18, 2022 at 9:49 am GMT

Markets fully price in four Fed rate hikes for this year, lifting yields Stocks under pressure, dollar recovers, gold surprisingly resilient Oil hits new highs, yen retreats after BoJ does nothing Fed worries hit stocks It has been a stormy couple of weeks for financial markets, with almost every asset class getting rocked by expectations that the Fed will need to normalize monetary policy more aggressively to cool inflation. The US labor market is so tight that wage growth has [..]

Technical Analysis – USDJPY finds foothold on 200-MA, but bearish risks linger

Posted on January 17, 2022 at 10:30 am GMT

USDJPY buyers are trying to extend the bounce from the 113.47 level far beyond the recently conquered 200-period simple moving average (SMA) at 114.33. The longer-term SMAs are implying that the positive trend is feeble, while the fresh bearish crossover of the 100-period SMA by the 50-period one is endorsing the latest decline in the pair, from the near six-year high of 116.34. The Ichimoku lines are indicating a pause in negative forces, while the short-term oscillators are demonstrating conflicting [..]

Daily Market Comment – Fed bets boost dollar, China cuts rates

Posted on January 17, 2022 at 10:03 am GMT

Dollar stabilizes as markets price in faster Fed rate hikes In contrast, China cuts interest rates to power up growth US markets will stay closed today, focus turns to BoJ meeting Dollar unscathed by retail sales miss Markets are growing increasingly confident that the Fed will raise interest rates four times this year to bring inflation under control. Even though the latest edition of US retail sales on Friday disappointed in a massive way, taking an axe to GDP growth [..]

BoJ to defy peers, stay on dovish course, but for how long? – Forex News Preview

Posted on January 14, 2022 at 2:32 pm GMT

The Bank of Japan will conclude its first monetary policy meeting of 2022 on Tuesday and publish an updated set of economic forecasts. So far, the BoJ has been excluded from the global central bank race to normalize policy amid skyrocketing inflation in many parts of the world. However, with price pressures swelling in Japan too, the January meeting might see the Bank take a baby step towards the hawkish side. The question is, would a slightly less dovish stance [..]

US Open Note – Ugly retail sales data question Fed tightening; dollar plummets to fresh lows

Posted on January 14, 2022 at 2:25 pm GMT

Stocks to close the week in the red; banking earnings beat estimates Fed policymakers keep throwing cold water on stock markets, highlighting that a faster pace of higher interest rates will be required to cool inflation from March onwards, as persisting pandemic-led supply bottlenecks might create additional price pressures in the coming months.The Fed’s No.2 official Lael Brainard and the Chicago Fed President Charles Evans were the last on the call on Thursday, with tech stocks driving the Nasdaq 100 [..]

Week Ahead – Bank of Japan meets, China releases GDP

Posted on January 14, 2022 at 12:52 pm GMT

The Bank of Japan will be in the spotlight next week. It will likely reaffirm that rates won’t rise for a long time, leaving the yen at the mercy of foreign central bank moves and risk appetite. The People’s Bank of China will also meet and could loosen policy to empower economic growth, although its actions are usually more important for stock markets rather than FX. BoJ – A hint of optimism The Japanese economy is turning a corner. A [..]

Daily Market Comment – Stocks falter again as hawkish Fed frightens markets, dollar rout deepens

Posted on January 14, 2022 at 10:42 am GMT

Wall Street headed for weekly losses as Fed and inflation worries weigh Fed officials set sights on March for liftoff, hawkish soundbites unnerve investors But dollar still sliding as terminal rate not seen going up much Fed rate hike talk takes toll on the markets Equity markets were back in the red on Friday after Wall Street’s rebound faltered on Thursday amid increasingly hawkish language from the Fed, a troubling inflation outlook and no let-up in the spread of Omicron. [..]

US Open Note – Dollar speeds down a slippery slope; stocks steady

Posted on January 13, 2022 at 2:20 pm GMT

Dollar extends inflation decline; initial jobless claims tick higher The latest CPI inflation report out of the United States was not a big surprise on Wednesday. Despite a minor pickup in the core measure, the annual headline gauge came in line with expectations at 7.0% – the highest since 1982. However, investors sold the dollar as three rate hikes by the Fed are already fully priced in to launch potentially after bond tapering ends in March, while a fourth one [..]

US Open Note – Inflation hits its fastest pace in four decades

Posted on January 12, 2022 at 2:16 pm GMT

Powell calms the markets Fears that the US economic expansion could be jeopardized by tighter monetary policy have been alleviated for now, as the Fed Chair Jerome Powell reassured investors that the central bank would bring down inflation without derailing the US economic recovery. Powell also avoided a comment on the timing of rate hikes and stressed that no decision has yet been made regarding the reduction of the Fed’s balance sheet. After his hearing, not much has changed regarding [..]

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