EURJPY Looking Lower
A very fluid start to the markets this week with plenty to focus on. In terms of current opportunities EURJPY is looking interesting here. Price is currently challenging the 128.36 level support within the bear channel from YTD highs. A daily close below here will see bears targeting the 127.18 level next and 125.13 below that. Given the near-term risks around the Evergrande situation, JPY looks likely to remain supported on safe-haven inflows though BOJ and Fed rates meetings this week need to be monitored.
Key Data to Watch
Plenty to keep an eye on this week with both the BOJ and the Fed meeting. While the BOJ meeting is likely to be something of a non-event ( BOJ to reaffirm commitment to supporting markets), the FOMC meeting might see fireworks. If the Fed does give a hawkish signal, this is likely to drive asset markets lower, pushing EUR lower with it and lifting JPY. Retail community is currently around 65% long meaning there is plenty of room for this trade to develop.
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With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.