JPY soars on bond yield cap – Trading short on WTI (US Oil), Gold (XAU/USD) in uptrend [Video]
|Did you see the huge jump in JPY?
I’m Brad Alexander and in this week’s Market Blast Technicals let’s take a look at the Dow Jones Industrial Average (US30), Gold (XAUUSD), GBPJPY, and USDJPY.
In a surprise move, the Bank of Japan widened its bond yield cap which has dramatically strengthened JPY.
To be honest, there won’t be a technical opportunity for a few hours, at least, but we see price action returning to key levels.
We are looking at the Daily charts here and we see price at key levels on USDJPY, GBPJPY, and CHFJPY.
Gold is still trending up even though it fell below the psychological level of $1800.
Price action has bounced off this lower trend line and we see confluence in the stochastic oscillator which has turned up from oversold.
Last week we pointed out a potential short on Crude Oil and we hope you sold.
Let’s do it again!
Price action has just bounced off this upper trend line and the stochastic oscillator has turned down from overbought and is showing confluence.
The news from Japan has sent equities lower and the DJIA is heading back to bear market territory at the 200-day moving average.
Price action has also hit the 38.2% Fibonacci level and we see a bearish confluence in the stochastic oscillator.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.