25 Aug 2015
USD/JPY: On wild bounce to 120.00 despite Shanghai's open
FXStreet (Bali) - USD/JPY keeps on rising despite a horrible open in the Shanghai composite, initially down 6.4%, currently rebounding slightly to -5.7%.
USD/JPY disobeys clues from Shanghai, worst over?
The counter-intuitive 'risk-on' moves in Yen crosses suggests the market no longer sees value reinstating Yen longs at current extreme levels, and while the USD/JPY bear trend might be far from over, it looks as though the sentiment to trade Yen crosses upwards has improved near term. That said, 120.00 will prove key resistance now.
USD/JPY technicals constructive ST, bearish big picture
The spike in USD/JPY, buoyed by a vigorous bounce in the Nikkei 225, is assisting the pair, which has now a major test ahead to take control of the 120.00 round number and psychological resistance ahead of 120.50 resistance. On the downside, unless the Chinese sour sentiment spreads to the rest of Asia, including the Nikkei 225, the pair looks poised to find support on dips during Asia.
USD/JPY disobeys clues from Shanghai, worst over?
The counter-intuitive 'risk-on' moves in Yen crosses suggests the market no longer sees value reinstating Yen longs at current extreme levels, and while the USD/JPY bear trend might be far from over, it looks as though the sentiment to trade Yen crosses upwards has improved near term. That said, 120.00 will prove key resistance now.
USD/JPY technicals constructive ST, bearish big picture
The spike in USD/JPY, buoyed by a vigorous bounce in the Nikkei 225, is assisting the pair, which has now a major test ahead to take control of the 120.00 round number and psychological resistance ahead of 120.50 resistance. On the downside, unless the Chinese sour sentiment spreads to the rest of Asia, including the Nikkei 225, the pair looks poised to find support on dips during Asia.