{"id":4621,"date":"2009-11-09T11:55:06","date_gmt":"2009-11-09T16:55:06","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=4621"},"modified":"2009-11-09T11:55:06","modified_gmt":"2009-11-09T16:55:06","slug":"usdjpy-heads-south-with-broad-based-dollar-weakness","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2009\/11\/09\/usdjpy-heads-south-with-broad-based-dollar-weakness\/","title":{"rendered":"USD\/JPY Heads South with Broad-Based Dollar Weakness"},"content":{"rendered":"

By Fast Brokers<\/strong> – The USD\/JPY is trading lower today in what appears to be a broad-based sell-off of the Dollar.\u00a0 The combination of weak unemployment data and the G20 stating that central banks will maintain their respective loose monetary policies (see EUR\/USD commentary) has led investors away from the Dollar and towards riskier assets.\u00a0 Today\u2019s trend is a negative catalyst for the USD\/JPY since the currency pair has been negatively correlated with the risk trade.\u00a0 Furthermore, the DPJ\u2019s more conservative fiscal policy is leading investors to believe that the BoJ will not intervene at present levels.\u00a0 Data-wise, Japan will release Core Machinery Orders late Tuesday night EST along with a wave of Chinese econ data.\u00a0 Therefore, volatility could pick up in the next 24-48 hours, especially if the Asian data points outperform expectations.\u00a0 While analysts are expected continual growth in Japan\u2019s CMO data, China\u2019s numbers could have a larger impact considering it is Japan\u2019s largest trading partner.\u00a0 Further strength in China\u2019s economy implies greater demand for Japanese goods, thereby strengthening the Yen.\u00a0 On the other hand, weak Chinese econ data could rattle markets and send the USD\/JPY back above 90.<\/p>\n

Technically speaking, the psychological 90 area is proving to be a tough psychological area once again.\u00a0 The USD\/JPY continues to gravitate towards 90 despite recent hints of a topside breakout.\u00a0 The currency pair is currently trading back below 90, yet is holding above our 1st and 2nd tier uptrend lines.\u00a0 Hence, there are a few more technical cushions separating the USD\/JPY from a retest of October lows.\u00a0 As for the topside, the USD\/JPY faces multiple downtrend lines along with 11\/6 and 11\/4 highs.<\/p>\n

Present Price: 89.74<\/p>\n

Resistances: 89.88, 90.03, 90.27, 90.38, 90.50, 90.64<\/p>\n

Supports:\u00a0\u00a0 89.61, 89.44, 89.30, 89.15, 88.97, 88.82, 88.73<\/p>\n

Psychological: 90, November and October Lows<\/p>\n

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

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

Disclaimer:<\/strong> <\/span>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> <\/span>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 is trading lower today in what appears to be a broad-based sell-off of the Dollar.\u00a0 The combination of weak unemployment data and the G20 stating that central banks will maintain their respective loose monetary policies (see EUR\/USD commentary) has led investors away from the Dollar and towards riskier assets.\u00a0 … <\/p>\n

Continue reading “USD\/JPY Heads South with Broad-Based Dollar Weakness”<\/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-4621","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/4621","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=4621"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/4621\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=4621"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=4621"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=4621"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}