{"id":3674,"date":"2009-09-08T11:40:45","date_gmt":"2009-09-08T16:40:45","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=3674"},"modified":"2009-09-08T11:40:45","modified_gmt":"2009-09-08T16:40:45","slug":"usdjpy-looks-to-test-july-lows-as-investors-exit-the-dollar","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/09\/08\/usdjpy-looks-to-test-july-lows-as-investors-exit-the-dollar\/","title":{"rendered":"USD\/JPY Looks to Test July Lows as Investors Exit the Dollar"},"content":{"rendered":"

By Fast Brokers<\/strong> – The USD\/JPY\u2019s bounce ran out of steam as we anticipated and the currency pair was deflected by our 1st tier uptrend line today after buy-side volume proved insufficient.\u00a0 We recognize a rise in sell-side activity with investors exiting the Dollar amid fear that America\u2019s liquidity measures will result in a broad-based devaluation over the medium-term.\u00a0 Both the EUR\/USD and GBP\/USD are experiencing a rapid appreciation against the Dollar as well today.\u00a0 We cautioned that a strong downward force is still bearing down on the USD\/JPY with our 2nd tier downtrend line and makeshift 1st tier uptrend line fading into the distance.\u00a0 Investors are clearly favoring the Yen over the Dollar with important data from Japan, China, Britain and the U.S. on the way.<\/p>\n

While investors will surely be scrutinizing Japan\u2019s Core Machinery Orders data tomorrow, Thursday will be the center of attention with a monetary policy decision from the BOE coupled with key economic data from China.\u00a0 China\u2019s data will be important for the Yen since Japan is much more reliant on its exports to the communist nation with consumption damaged in the West.\u00a0 Weak data from China and the U.S. could mitigate losses in the USD\/JPY and help the currency pair keep its head above water.\u00a0 However, the combination of strong Industrial Production from China coupled with weak U.S. data would likely result in an aggressive appreciation of the Yen vs. the Dollar.\u00a0 Considering the downward pressure on the USD\/JPY and topside breakouts in the EUR\/USD and GBP\/USD, it seems the USD\/JPY\u2019s pullback may have quite a ways to go over the near-term.<\/p>\n

Technically speaking, the immediate-term key will be for the USD\/JPY to stay above September lows.\u00a0 If not, we should see a quick test of July lows.\u00a0 Beneath these levels, the currency pair does have historical consolidation dating back to January and February trading ranges.\u00a0 Furthermore, the USD\/JPY has the highly psychological 90 level to fall back on should the downturn pick up speed again.\u00a0 As for the topside, the USD\/JPY needs to climb back above our 1st tier uptrend and 2nd tier downtrend lines along with previous September highs in order to save face.<\/p>\n

Present Price: 92.14<\/p>\n

Resistances:\u00a0 92.27, 92.37, 92.54, 92.67, 92.76<\/p>\n

Supports:\u00a0 92.05, 91.95, 91.79, 91.64, 91.50<\/p>\n

Psychological: 90<\/p>\n

\"\"<\/a><\/p>\n

Market Commentary<\/strong><\/em> provided by Fast Brokers<\/strong><\/span><\/a>.<\/p>\n

Disclaimer:<\/strong> FastBrokers\u2019 market commentary is provided for information purposes only and under no circumstances should be regardedneither as an investment advice nor as a solicitation or an offer to sell\/buy any financial product. FastBrokers assumes no responsibility or liability from gains or losses incurred by the information herein contained.<\/p>\n

Risk Disclosure:<\/strong> There is a substantial risk of loss in trading futures and foreign exchange. Please carefully review all risk disclosure documents before opening an account as these financial instruments are not appropriate for all investors.<\/p>\n","protected":false},"excerpt":{"rendered":"

By Fast Brokers – The USD\/JPY\u2019s bounce ran out of steam as we anticipated and the currency pair was deflected by our 1st tier uptrend line today after buy-side volume proved insufficient.\u00a0 We recognize a rise in sell-side activity with investors exiting the Dollar amid fear that America\u2019s liquidity measures will result in a broad-based … <\/p>\n

Continue reading “USD\/JPY Looks to Test July Lows as Investors Exit the Dollar”<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-3674","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3674","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=3674"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/3674\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=3674"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=3674"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=3674"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}