All Articles Tagged - USDJPY

Technical Analysis – USDJPY halts pullback but will it make fresh highs?

Posted on January 12, 2022 at 8:17 am GMT

USDJPY halted the pullback from the five-year high of 116.33 around the 115.00 level on Tuesday, but the close below the 115.50 – 115.25 region is still keeping downside risks alive in the market. The technical picture is also warning that bears have some fuel in the tank as the MACD is stepping below its red signal line and the RSI is struggling to gain momentum after the dip below the overbought area. Unless the price returns above 115.50, traders [..]

US inflation in focus as traders price faster Fed hikes – Forex News Preview

Posted on January 11, 2022 at 3:40 pm GMT

The latest US inflation data will be published on Wednesday at 13:30 GMT, ahead of the retail sales report on Friday. Consumer prices are expected to have risen at the fastest clip in 40 years, which could seal the deal for a Fed rate hike in March. That said, there is scope for disappointment in the spending numbers, so it could be a rollercoaster ride for the dollar. Fed gets rolling The US economy is firing on all cylinders. Consumption [..]

US Open Note – Stocks set for opening gains; Powell’s testimony in focus

Posted on January 11, 2022 at 1:42 pm GMT

Powell testimony in focus; Bundesbank’s new chief warns on inflation Markets are anticipating Fed Chair Jerome Powell’s renomination hearing in Congress later today, waiting to find out his current views on inflation ahead of the CPI data release on Wednesday. In his prepared remarks, Powell vowed to bring down inflation and warned markets that the ongoing post-pandemic expansion might look different from what they have witnessed before. Earlier today, ECB President Christine Lagarde gave a speech at the ceremony marking the [..]

Daily Market Comment – Sentiment up after Wall Street stages late comeback

Posted on January 11, 2022 at 10:12 am GMT

Nasdaq out of correction territory following late-session rally Asia mixed amid China lockdowns, but European stocks and US futures up Powell testimony eyed as March rate hike speculation intensifies Dip buyers return to save the day Equities were on a steadier footing on Tuesday as the selloff on Wall Street appeared to be cooling off following a miserable start to the New Year for the tech behemoths. The tech-dominated Nasdaq Composite briefly flirted with correction territory on Monday, plunging by [..]

Technical Analysis – USDJPY faces short-term pressures; overall outlook bullish

Posted on January 11, 2022 at 8:37 am GMT

USDJPY has retreated from its January high, crossing below its 50-period simple moving average (SMA) amid strengthening negative forces. However, despite the short-term negativity, the pair’s overall outlook is still positive amid successive higher highs and higher lows. Short-term momentum indicators are supporting a negative bias as the RSI is located below its 50 neutral mark. Also, the MACD is found below zero and its red signal line, which could indicate that the negative bias might be gaining more traction. [..]

Technical Analysis – USDJPY retreats beneath 116 but bullish bias remains intact

Posted on January 10, 2022 at 3:03 pm GMT

USDJPY has recorded three consecutive daily red candles causing the pair to withdraw back below the 116.00 mark after reaching a five-year high of 116.34. The positive incline in the simple moving averages (SMAs) is promoting the continuation of the broader uptrend. However, the short-term oscillators are backing the bearish development in the price, reflecting the increase in negative momentum. The MACD, in the positive region, is fading towards its red trigger line, while the RSI is diving in bullish [..]

US Open Note – Stocks under pressure on faster stimulus withdrawal signals

Posted on January 10, 2022 at 2:30 pm GMT

Global bond yields hit fresh highs; stocks retreat The Fed’s new message, which sparked fears that inflation could be tough to contain, and hence could require faster-than-expected rate hikes during the year, continued to weigh on market sentiment on Monday, elevating global bond yields to fresh highs. A couple of Fed policymakers have already urged the need to move towards normalization ahead of Powell’s testimony before the Senate Banking committee on Tuesday, making four rate hikes an increasingly likely scenario [..]

Weekly Comment – US inflation and Fed’s Chair testimony in the spotlight

Posted on January 7, 2022 at 2:34 pm GMT

Stocks staged a mid-week selloff in the aftermath of the FOMC minutes release, which revealed policymakers’ discussions for faster rate hikes and policy normalization in terms of balance sheet reduction. In the upcoming week, Fed Chair Jerome Powell’s testimony and US inflation take center stage, together with US retail sales and Chinese inflation data. Highlights: In America, three FOMC voting members are due to speak next week, while Fed Chair Jerome Powell is expected to testify before the Congress on [..]

Week Ahead – US inflation report to decide dollar’s fate

Posted on January 7, 2022 at 2:29 pm GMT

The new year has kicked off with a sharp spike in yields, which has turbocharged the US dollar but demolished the Japanese yen. Whether this trend persists will depend on next week’s US inflation report, as that could decide whether the Fed will begin its rate hike cycle in March already. Peak US inflation soon? The US economy is in pretty good shape. The labor market will likely return to full employment this year, consumption is booming, the Atlanta Fed [..]

Daily Market Comment – US dollar braces for nonfarm payrolls test

Posted on January 7, 2022 at 10:01 am GMT

US employment report today could be crucial for markets FX and stocks quiet, but spike in yields hurts gold Oil powers higher as supply disruptions get priced in Conflicting signs for US jobs The main event today will be the US employment report for December, which could be huge for the dollar and equities as rate traders are currently pricing in an 80% chance for the Fed to begin its hiking cycle in March. Nonfarm payrolls are forecast to have [..]

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