USD/JPY in limbo ahead of Trump's speech

Source: Dukascopy Bank SA
© Dukascopy Bank SA
"The dollar is set to resume the Trump rally if he provides specifics of stimulus measures, notably those related to tax cuts, which appear achievable. On the other hand, the market is also focused on potential risk factors, like Trump taking a tough stance against China. That could prompt the dollar to fall against the yen."  
– IG Securities (based on Reuters) 


Pair's Outlook 
Even though the USD/JPY currency pair edged lower on Tuesday, the losses were not as harsh as was first anticipated. Wednesday, however, brings a lot of uncertainty, as the US President-Elect is scheduled to speak today. His speech could have a significant impact on the US Dollar's performance. We expect the Buck to strengthen and climb over the monthly PP, which rests at 116.20. Technical indicators also suggest the Greenback is to edge higher today. The overall ceiling is expected to be the 117.00 mark, where the 20-day SMA coincides with the weekly PP, making that area a rather strong resistance. 

Traders' Sentiment 
There are now 53% of traders with a positive outlook towards the US Dollar, compared to 52% on Tuesday. At the same time, the number of orders to acquire the Buck inched up from 53 to 55%.
© Dukascopy Bank SA

Actual Topics

Subscribe to "Fundamental Analysis" feed

Subscribe
To learn more about Dukascopy Bank CFD / Forex trading platform, SWFX and other trading related information,
please call us or make callback request.
For further information regarding potential cooperation,
please call us or make callback request.
To learn more about Dukascopy Bank Binary Options / Forex trading platform, SWFX and other trading related information,
please call us or make callback request.
To learn more about Dukascopy Bank CFD / Forex trading platform, SWFX and other trading related information,
please call us or make callback request.
To learn more about Crypto Trading / CFD / Forex trading platform, SWFX and other trading related information,
please call us or make callback request.
To learn more about Business Introducer and other trading related information,
please call us or make callback request.
For further information regarding potential cooperation,
please call us or make callback request.