AceTraderFx Jan 03: Intra-Day Market Moving News and Views -USD/JPY
Intra-Day Market Moving News and Views
03 Jan 2019 03:00GMT
USD/JPY - 107.53… Despite moving narrowly in subdued Australian trading, the pair tumbled from 108.91 to as low as 104.79 as sales warning by i-phone giant Apple sent U.S. stock futures lower and triggered a flash crash on the dlr to a 9-month low.
Traders cited massive stop loss buying of yen vs usd, aud, nzd, euro and sterling by Mrs Watanabe (Japanese retail clients who used to thrive on yen carry trades) as well as also trading being the reason for the intra-day flash crash on the pair. Having said that, as dlr has pared intra-day loss n rebounded to 107.86, suggesting recent downtrend has made a low there and price should ‘gyrate’ above this low probably for rest of this month, so range trading is the way to go but traders obviously would want to sell the dollar for another downside test.
As Japanese financial markets are still closed for Bank holiday until Friday, order book is very light with offers tipped at 107.75/95 and stops above 108.00.
Ahead of Fri’s key jobs report, U.S. will release a slew of eco. data starting with building permits, ADP private payrolls, trade balance, jobless claims, wholesale inventories, ISM New York index, new home sales, construction spending n ISM mfg PMI.