Summary
The Yen continues to weaken. The USDJPY is now at a 25-year high.
The Details
The Bank of Japan (BOJ) intervention could happen any week, meaning some big moves on JPY pairs. I am expecting at least a 500 pip bearish move on USDJPY 💥
If there is no intervention, USDJPY may reach as high as 155-160 before the BOJ changes interest rates to strengthen the Yen.
The JPY is weak across the board, especially against the
CNHJPY
CHFJPY
and
SGDJPY
Things to Consider
The Yen continues to weaken. The USDJPY is now at a 25-year high.
The Details
The Bank of Japan (BOJ) intervention could happen any week, meaning some big moves on JPY pairs. I am expecting at least a 500 pip bearish move on USDJPY 💥
If there is no intervention, USDJPY may reach as high as 155-160 before the BOJ changes interest rates to strengthen the Yen.
The JPY is weak across the board, especially against the
CNHJPY
CHFJPY
and
SGDJPY
Things to Consider
- Don't over-leverage JPY long positions due to your FOMO
- Think longer-term. The intervention move could provide only temporary strength for the Yen. The BOJ may need to hike rates before the Yen forms its lows. An interest rate hike may not happen until Q1/Q2 2024.
