Brad Alexander
FX Large Limited
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.
While we may offer market commentary based on fundamental or technical analysis, we do not offer trading advice and cannot be held liable for any decisions taken by viewers and readers of our material.
Recommended Content
Editors’ Picks
EUR/USD edges lower toward 1.0700 post-US PCE
EUR/USD stays under modest bearish pressure but manages to hold above 1.0700 in the American session on Friday. The US Dollar (USD) gathers strength against its rivals after the stronger-than-forecast PCE inflation data, not allowing the pair to gain traction.
GBP/USD retreats to 1.2500 on renewed USD strength
GBP/USD lost its traction and turned negative on the day near 1.2500. Following the stronger-than-expected PCE inflation readings from the US, the USD stays resilient and makes it difficult for the pair to gather recovery momentum.
Gold struggles to hold above $2,350 following US inflation
Gold turned south and declined toward $2,340, erasing a large portion of its daily gains, as the USD benefited from PCE inflation data. The benchmark 10-year US yield, however, stays in negative territory and helps XAU/USD limit its losses.
Bitcoin Weekly Forecast: BTC’s next breakout could propel it to $80,000 Premium
Bitcoin’s recent price consolidation could be nearing its end as technical indicators and on-chain metrics suggest a potential upward breakout. However, this move would not be straightforward and could punish impatient investors.
Week ahead – Hawkish risk as Fed and NFP on tap, Eurozone data eyed too
Fed meets on Wednesday as US inflation stays elevated. Will Friday’s jobs report bring relief or more angst for the markets? Eurozone flash GDP and CPI numbers in focus for the Euro.