Yesterday's rally in the US equity market failed to lift the USD/JPY pair higher, or anything against the JPY as a matter of fact. This was surprising to me, as I'm sure it was for many others. Usually the JPY, like the USD, declines when the markets rally, as a sign of risk appetite in the marketplace flocking to higher-yielding assets and away from low-yielders (JPY) and safe havens (USD).
The USD/JPY chart showed a nice reversal pattern last week, yet has not gone higher since, however, it has not broken the support level either. For now, my trade from last week is down but not out. There isn't much in the way of economic data this week to get help from the fundamentalists, so I'll have to rely on basic market trends and momentum to lift my trade into profitability.
No comments:
Post a Comment