USD/JPY breaking to new highs on hawkish Fed and no change by BoJ

Gregor Horvat Wavetraders

The USD is strong across the board after FED raised rates by 75bp yesterday, while stocks turned down. We see USD at new highs vs plenty of currencies, including JPY after no change from the BoJ policy decisions. We see USDJPY trading at a new high after breaking out of a triangle as expected, so there can be a fifth wave now in late stages with the first resistance at 147 followed by the second one at 148. 148 is also very big and important level back from 1998 when BoJ intervented in the FX market and caused a sharp sell-off on USDJPY that lasted a few years.

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Author

Gregor Horvat

Wavetraders

Experience Grega is based in Slovenia and has been in the Forex market since 2003.

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