we hope you had a successful trading week. In this short update, we wanted to talk about the USDJPY and why it could move lower thru out next week.
After the market rose about 17.09% in last years impulsive to the upside, the USDJPY was in a sideways trend for weeks.
Now the market broke its key level of 111.476, which could open up an extension lower to around the last resistance now acting as new support at around 107.456. With the health bill rejected today, we could see throughout risk equity weakness next week. Which would consist with USDJPY trading lower on risk aversion.
If we don't see any significant fundamental changes throughout next week, were going to search for short opportunities in USDJPY , especially with the break of the important resistance.
We will keep you updated on this one. We wish you a relaxed weekend. Trade with care and always use a stop loss while trading and don't overleverage, otherwise you will lose your account!