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Forex Today: USD/ JPY pushes to 9-month highs

Forex Today: USD/ JPY pushes to 9-month highs

The USD/JPY currency pair again hit a new 9-month high during the day's Tokyo session above 145.50 yen.

➡️ The USD/JPY currency pair advanced again during the Tokyo session to create a new 9-month high above 145.50 yen. This is the result of both the strength of the dollar and the weakness of the Yen. Trend traders and return traders will be interested in being long this currency pair. The dollar is bullish with rising short-term yields while the Japanese yen remains one of the weakest major currencies in the Bank of Japan's ultra-loose monetary policy. However, bulls will be wary that the Bank of Japan might intervene again as it did the last time the price reached this area.

➡️ Lhe NZD/USD currency pair traded lower again yesterday to make a new 9-month low price well below the big round number at $ 0.6000, but has since recovered.

➡️ Global stock markets are mostly bullish, but China's stock market is significantly lower due to bad sentiment partly caused by the release of disappointing industrial production data, despite the 15 basis point rate cut that was announced a few hours ago. The HSI is down more than 1% today.

➡️ IWTI Crude Oil is making a bearish retracement after breaking strongly towards new 8-month high prices last week. Trend traders might find it interesting to try to get involved here on the Long side.

➡️ In the Forex market, the Australian dollar has been the strongest major currency since the Tokyo open, with the US dollar the weakest, putting the AUD/USD currency pair in focus. The Australian Dollar may have been slightly boosted by the release of the latest RBA meeting minutes, which underlined the willingness to raise rates further if necessary. Despite this, the US dollar appears bullish, having just made a bullish breakout above a declining Wedge chart pattern.

➡️ There will be releases later today of:
a) US retail sales data
b) Canadian CPI (inflation)
c) Reserve Bank of New Zealand Official Rate and Cash Rate/Monetary Policy Statements
d) US Empire State Manufacturing Index data
e) Change in UK claims count

 

Credit by DailyForex.com

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