All hell broke loose in the American session, as the USD/JPY finally breached the 100.00 mark. The dollar is strongly up against its rivals, in a series or reason now easy to explain but hard to foresee a couple hours ago: US yields rose over the last few days, establishing earlier today above the 1.80% mark, employment figures weekly basis continue to improve, and finally, jawboning from FED members over the end of QE for this year.
But don’t get confused, it was USD/JPY the trigger of greenback strength, dragging with it the rest of the majors in a wild spree. At the time being, the USD/JPY trades above 100.70, establishing a fresh high since May 2009, and with no aims of retreating any. Market players are now eyeing 101.44, April 2009 monthly high, and dips towards 99.70/100.00 if any, will be seen as strong buying opportunities, although be aware, pullbacks are highly unlikely in yen crosses.
Valeria Bednarik was a key speaker at the FXStreet International Traders Conference in October 2009 - Barcelona.
Valeria Bednarik has been active in the financial markets since 2003, specializing in the International Foreign Exchange Market.
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