{"id":62971,"date":"2014-11-03T01:48:24","date_gmt":"2014-11-03T06:48:24","guid":{"rendered":"http:\/\/countingpips.com\/?p=62971"},"modified":"2014-11-03T07:10:34","modified_gmt":"2014-11-03T12:10:34","slug":"yen-retains-post-boj-weakness","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2014\/11\/yen-retains-post-boj-weakness\/","title":{"rendered":"Yen retains post-BoJ weakness"},"content":{"rendered":"
November 3, 2014<\/div>
\r\n<\/div><\/div>

Article by ForexTime<\/a><\/p>\n

USD\/JPY opened on Monday at 112.46 and traded a 112.42-985 range in Asia; last at 112.75. Most of the action was in early Sydney trades just after the official open. USD\/JPY had closed in NY at 112.31 after topping out at 112.47 Friday night. Thin early markets saw USD\/JPY charge through the NY high and the barrier at 112.50 to reach 112.91 before sideways activity set in. USD\/JPY dipped to 112.66 before another surge to take out the 113.00 barrier. This latest attempt failed at 112.985. USD\/JPY then returned to drift sideways mode but never threaten levels below 112.50. Pair remains poised to take out 113.00 when more liquidity arrives. Tokyo of course was out today for another public holiday with sell orders left on Friday sufficient enough to keep 113.00 untouched. Nikkei equity futures are up another 3.2% from Friday’s cash close taking their two day gain to 8.0%. Investment banks were all out sharpening their pencils in terms of USD\/JPY forecasts. While Japanese authorities are comfortable with more JPY weakness (Aso\/Amari) they do not want it all at once.<\/p>\n

EUR\/USD fell on prevailing USD strength from NY close of 1.2525 to 1.2515 local open. Fri session saw rate plumb lowest level since end-Aug 2012 c1.2485 as BOJ surprise ease spurred broad-based USD gains, setting up downside bias in Asia. EUR\/JPY demand helped temper for a time as the cross vaulted in the thin conditions (Tokyo hol) to a post May 2014 high of 141.40. Generalised USD buying subsequently renewed as AUD sold-off hard on an outsized building approvals downside miss -11.0% vs -1.0% f\/c, slicing the EUR through 1.2500 and 1.2485 in rapid succession. Weighed by EUR\/JPY profit-taking to 140.40 the EUR\/USD fell to a 1.2439 low before a semblance of calm returned. Final HSBC China Mfg PMI soothed coming in as expected at 50.4, leaving EUR\/USD to traipse a 1.2450\/80ish range thereafter and EUR\/JPY to reclaim 140.65\/75. Into the Asian afternoon the EUR\/USD sits 1.2480\/82 and 140.70\/75yen. Ahead, 1.2500 the figure flips to res with a tech void on downside until 1.2342 21 Aug 12 low. ECB\/Draghi presser expected to keep traders on edge this week and overall EUR focus lower. BOJ’s requirement to again expand QQE to mitigate the explicit risk of ‘conversion of deflationary mindset’ underlines challenge confronting ECB.<\/p>\n

GBP\/USD traded a 1.5928-90 range in Asia on Monday; last at 1.5968.<\/p>\n

USD\/CHF traded a0.9639-94 range in Asia on Monday; last at 0.9661.<\/p>\n

AUD\/USD opened on Monday at 0.8740 and traded a 0.8703-62 range in Asia; last at 0.8727. AUD\/USD had closed in NY on Friday at 0.8794 but gapped lower in pre official Monday trading after soft China official PMI data out Saturday and another 0.5% rally in USD\/JPY towards 113.00. AUD\/USD traded 0.8730-62 in early dealings with the pair struggling to fill the gap left by the opening markdown. AUD\/USD started to slide again on the back of JPY cross selling (profit taking) and general all round US Dollar strength as Asia got fully up and running. A plethora of local data releases along with more China PMI’s kept AUD\/USD on the back foot before bottoming out at 0.8703. A recovery of modest sorts was seen after the release of the China HSBC PMI came in as expected at 50.4. AUD\/USD made it back to 0.8730 but market still feels caught long with expectations that offshore will take AUD\/USD below 87 cents later tonight. Players are still coming to terms with this most recent bout of Yen weakness. The jury is still out as to what is the correct AUD (a somewhat beneficiary) reaction – at this stage the four year low at 0.8642 looks vulnerable.<\/p>

\r\n
\r\n

Free Reports:<\/p><\/div>\r\n

\r\n

<\/a>\r\n\t Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p>

\r\n
\r\n
\r\n

<\/a>\r\n\t Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p>

\r\n<\/div>\r\n

\r\n
<\/div>\n

<\/p>\n

\n

\"Forex-Time-Logo\"Article by ForexTime<\/a><\/span><\/strong><\/p>\n

ForexTime Ltd (FXTM)<\/strong> is an award winning international online forex broker regulated by CySEC 185\/12 www.forextime.com<\/a><\/p>\n

\n
\n
\n","protected":false},"excerpt":{"rendered":"

Article by ForexTime USD\/JPY opened on Monday at 112.46 and traded a 112.42-985 range in Asia; last at 112.75. Most of the action was in early Sydney trades just after the official open. USD\/JPY had closed in NY at 112.31 after topping out at 112.47 Friday night. Thin early markets saw USD\/JPY charge through the […]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-62971","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/62971","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=62971"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/62971\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=62971"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=62971"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=62971"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}