Back
2 Jun 2015
USD/JPY might see a correction, go short – Growth Aces
FXStreet (Barcelona) - With USD/JPY reaching the key psychological target at 125.00, some correction lower is likely, views the Team at Growth Aces, and hence maintains their short position on the pair, targeting 122.20 levels.
Key Quotes
“The USD/JPY broke above the psychological level of 125.00 today, for the first time since late 2002.”
“Bank of Japan Governor Haruhiko Kuroda said it was important for currency rates to reflect economic fundamentals, and reiterated that central bank policy is aimed at fostering price stability and not to weaken the yen. Finance Minister Taro Aso was equally said only that he would watch forex moves carefully.”
“Japanese Economics Minister Akira Amari said on Tuesday he is cautious about declaring an end to deflation because policymakers need to be sure the economy is strong enough to prevent a return to deflation. Amari also said capital expenditure is picking up, but there are still some concerns about consumer spending.”
“Our USD/JPY short survived today’s jump, but is still under threat. The stop-loss level is situated just above today’s new multi-year high. We should also draw another strong support line on the way to the target – a 28.2% fibo of 118.89-125.07 rise.”
“A corrective move is likely now. A mission to reach 125 target is accomplished and new fresh factors are needed for further gains. In our opinion many player may hesitate whether to buy again at elevated levels. That is why, we stay short despite recent bullish bias.”
“Resistance: 125.07 (high Jun 2), 125.55 (high Dec 6, 2002), 125.73 (high Dec 5, 2002)”
“Support: 124.42 (session low Jun 2), 123.86 (low Jun 1), 123.61 (38.2% fibo 118.89-125.07)”
“Short for 122.20”
Key Quotes
“The USD/JPY broke above the psychological level of 125.00 today, for the first time since late 2002.”
“Bank of Japan Governor Haruhiko Kuroda said it was important for currency rates to reflect economic fundamentals, and reiterated that central bank policy is aimed at fostering price stability and not to weaken the yen. Finance Minister Taro Aso was equally said only that he would watch forex moves carefully.”
“Japanese Economics Minister Akira Amari said on Tuesday he is cautious about declaring an end to deflation because policymakers need to be sure the economy is strong enough to prevent a return to deflation. Amari also said capital expenditure is picking up, but there are still some concerns about consumer spending.”
“Our USD/JPY short survived today’s jump, but is still under threat. The stop-loss level is situated just above today’s new multi-year high. We should also draw another strong support line on the way to the target – a 28.2% fibo of 118.89-125.07 rise.”
“A corrective move is likely now. A mission to reach 125 target is accomplished and new fresh factors are needed for further gains. In our opinion many player may hesitate whether to buy again at elevated levels. That is why, we stay short despite recent bullish bias.”
“Resistance: 125.07 (high Jun 2), 125.55 (high Dec 6, 2002), 125.73 (high Dec 5, 2002)”
“Support: 124.42 (session low Jun 2), 123.86 (low Jun 1), 123.61 (38.2% fibo 118.89-125.07)”
“Short for 122.20”