USDJPY Long
Updated
market overreacted to some negative US data this morning. I am bullish on the USD going into the next Q, so this is a prime opportunity to go long with a rejection off the ascending trendline.
Trade active
Firstly, I have to confess moving my stop to 97 (also moved TP up to 106.9) right after opening the trade. Not something I usually do but there is the added "support" of possible BOJ intervention below 100. Before Friday, the price action suggested a number as low as 95 for this pair at the bottom but I believe this is unlikely. The BOJ can't allow this. So, we're still in this folks...We see some bullish reversal after Jackson Hole and we now wait for the NFP due on Friday. Near term risks are selling the USD on rallies, but these will be short lived and mixed data from Japan (however, the economy is deflating - no good). The tide is turning, if not by Sep then Dec...
I don't think a hike will come in September, depending on the data. Key is of course NFP report due on Friday, a number above 190k will make the Sep FOMC meeting very exciting and bump the probability for a rate hike in Sep.
Stay save!
Trade closed: target reached
TP1 hit. All eyes on the NFP and 104 for a breakout to the upside...
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.