Dollar rally to start again now that there has been a correction. Also there is an announcement in two weeks time, The Federal Reserve will announce an end to QE. Bank of Japan will announce one more round of printing money. USD/JPY will have a range of 105-112 to the end of this year. Next year USD/JPY forecast to be 120!!! Im thinking USD/JPY will be a Great Trade.
OK, I will subscribe to this thread and come back again in a few weeks. Good luck mrquickbuy hahaha
I’m thinking USDJPY has peaked for the year. Because of the strength of the current pullback, yen weakness has surely peaked for the year and I do not think there’s much BOJ can do to change that. The end of QE is already priced in so don’t count on that to make USD bullish. IMO we’ve seen a multi year top, but buying at current levels should leave you profitable at the end of year.
The dollar is still extremely cheap historically. Hedge funds have increased their dollar longs in the last few days. Goldman sachs are extremely dollar bullish. Bank of japan want a weaker yen. so tradingbo look at the rate in december.
Fair enough. Be careful about blindly following the advice of the big banks because you are not in their best interest. The yen strength and the bearish fomc minutes just occurred in the last week or two so it’s still too early for them to announce that they are slashing their forecast.
Yeah I agree, I have seen how fickle finance is now, The Fed were promising a rate hike in spring then all of a sudden because the IMF have slashed their global growth outlook by half a percent or something the Fed backtrack. The reason they wouldnt raise rates immediately before was because of the slack in labour but job figures, unemployment figs are really good. Just seems they are using any excuse not to raise rates sooner. See what yellen says tomorrow and building permits. Good website is EFX they say there what the big banks are doing. Banks arent out to fool you necessarily. Goldman sachs say the markets have overreacted recently, I agree.
Well yesterday was the most volatile day since Lehman Brothers so I am sure we all agree that the markets are bunkers.
As for banks, while there are not necessarily out to fool us, the amount of protocol involved before they can announce that they are changing their forecast is just too much and so I do not believe they are a reliable source of information. With that said, USDJPY has already moved about 500 pips from its peak, so I guarantee you that all banks are out of a long trade now as their trailing stop or breakeven has already been hit, so what they said back then about USDJPY is now obsolete.
Danske bank came out with a new forecast yesterday and USD/JPY is 108 in a month. Just like every professional bank says. Remember 80% of forex is speculation and 75% of that is the big banks.
Yeah, that I believe as the yen is due for some weakness now, but 110 is gone until next year at least.
Good luck with your trade, I guess on the end of this year we will know does your trade was great or not.
If have good knowledge and you dont want to spend enough time in the market yu can go for long term investment, in the long run most of the currencies do give good returns.
You forgot an important factor to consider -if you have money too.
NZDUSD was at chart resistance above .88 as recently as the summer. It was a great trade to take and sit for even 6 months and definitely the greatest long term trade i’ve ever seen… but I lacked the patience and money especially to go through with it. Voila, it’s already down about 1000pips now.
So it went to 108.350 today. Anyone that listened and bought at 106 would have made 235 pips.
We’re up to 109!
I’m no expert but if conditions are to hold and 110 is to be a 2014 top then expect JPY strength in the near future since USD is still going to be strong because of today. So I’d be looking for a possible double top in USDJPY or to short GBPJPY or NZDJPY with a stop above the full cent at the weekend.
Wowzer!
What do I know!
110 gone and the sky is the limit!
Whos laughing now??? ha 111.800. 580 pips profit
So it was a great trade wasnt it.
Nice! I’m in the Aussie version of this trade. It has the potential to move another 600pips in the next few months and positive carry just in case you want to jump in.
Thanks for the tip, I only trade 7 pairs tho. usd/jpy hit 112 now.
Nice. Have you set any TP levels yet?