Long EURJPY - Anticipating Reversing of Fear induced JPY Trade
This morning JPY strengthen across the board due to Trump and North Korea's comment. In my opinion the move is quite overextended as now the prospect of another bomb test is no longer a surprised.
Fundmentally EUR is a strong currency and the reaction yesterday from Draghi's speech was positive. EUR is due a string of data today, of which I expected them to be weak. The reason I still long EURJPY is because these data are of no significant importance and that Draghi's comment likely weight heavier (I expect him to remain hawkish to certain extend just like yesterday).
I'm in 1/2 and will add on retracement if data release was bad and that push this pair lower.
Technical levels: I may add more if it dipped back to 133.5. My SL is ard 133 level and TP is around 135
Fundmentally EUR is a strong currency and the reaction yesterday from Draghi's speech was positive. EUR is due a string of data today, of which I expected them to be weak. The reason I still long EURJPY is because these data are of no significant importance and that Draghi's comment likely weight heavier (I expect him to remain hawkish to certain extend just like yesterday).
I'm in 1/2 and will add on retracement if data release was bad and that push this pair lower.
Technical levels: I may add more if it dipped back to 133.5. My SL is ard 133 level and TP is around 135