Reasons behind the USD's advance, the earnings season in the United States, the outlook for EUR, JPY, Apple, Amazon, and more in this video!
USD/JPY: Forex outlook
The yen is appreciating against the greenback again. Despite attempts of the US dollar to return its positions, news from the White House did not let the greenback to recover. Worries about the Trump’s protectionism and trade wars were reinforced by the replacements in the White House. The US President fired the Secretary of State Rex Tillerson and appointed the ex-director of CIA Mike Pompeo to this position. Both economic and political international policy of the US may become tighter. A new White House economic adviser announced a tougher policy in regard to China. Today the dollar weakened further as investors considered the implications of continuing personnel turmoil in the Trump administration. According to the Washington Post, Mr. Trump plans to remove his national security adviser.
Now the pair has come to 61.8 Fibonacci Retracement, if it is able to break it, the next support lies at 105.5.
However, there are chances that the greenback will find the support next week and the direction of USD/JPY will finally change. On next Wednesday we anticipate the US rate’s hike. According to forecasts, the Fed will raise the interest rate to 1.75%. Furthermore, a scandal with Japanese finance minister that is related to the school land sale still puts pressure on the yen. If there is an escalation of the scandal, the yen will weaken. That is not so bad for the Japanese currency because the dollar’s plunge below 105 will be critical for the yen and the Bank of Japan policy.
This week we will see two CPIs, five PMIs, and a dozen statements from banks governors from all over the world. Why do you need to follow these releases? Because it is a perfect opportunity for markets to gain volatility and for you to earn on this volatility.
This week will be full of meaningful events for the global markets. The US dollar has reached the psychological level of 100. Will it go above or a reversal might happen? How will it affect currency pairs, gold, and the US stock market? All answers are in the video.
Gold is about to break the most significant support. The US dollar index keeps gaining momentum. However, the situation might change this week, and we might see a tiny correction. Investors might return to risk-on and push the US stock market indices and cryptocurrencies to the upside. These and more trade ideas are in our new weekly video! Do not miss it!
This week is likely to be pivotal for many assets, including gold, USD, and several stocks. However, we need to be focused and react fast to the ever-changing environment to get the most from it.
This week, the majors will be affected by the interest rate decision by the Federal Reserve, NFP, the BOE Meeting, and more events.