U/J already filled the gap from the previous low. Expecting more gap fills as it corrects the large legs down.
Also, price is creating a higher low.
it hasnt broken market structure yet though so best to maybe wait until it breaks the second blue line you have for a more confirmed reversal
1 Like
I would hold off on doing anything with this pair for now with the election around the corner and as such the same with gold.
I lost on a short a few hours ago. I still think it will go down, but I jumped the gun. I dont think its going to reverse to the upside, BOJ doesn’t want that. Looking to short again.
The BOJ actually doesn’t want their currency too strong. Since they’re exporters, a strong yen would worry them. The 104-105 level looks to be what they’re currently maintaining.
What lessens the probability of any intervention from the MoF is that Japan’s closest trading partners in Asia (such as China and Korea) have seen strong strong gains against the USD. Also, the Nikkei is doing well.
If these two things continue, then it’s more likely that the MoF will let allow USD/JPY to weaken outside that 104-105 band. But I’d be careful around the 100-101 level since they’re more keen to hold this area.
1 Like
as predicted its going down…
Not touching USD at the moment.