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USD/JPY Forecast 6 July 2016

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USD/JPY Forecast 6 July 2016
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In the context of the local uncertainty, the pair USD/JPY fell under the influence of external forces.

The stock indices collapsed after the comments of Mark Carney about the Brexit which helped the Japanese yen strengthen.

The yen has become an attractive asset after the weakening of the pound and the euro.

The Brent oil descended below 48$ per barrel. Japanese Nikkei225 index fell today by 2.76%, the APR indices are falling, but Nikkei225 ahead of everyone. After yesterday's launch of the yen reduction by 80 points today during the Asian session, the pair USD/ JPY has lost around 100 points.

We forecast the descending of the pair USD/JPY to 99.30 and then to 98.10.

How to trade

The downward movement is possible after the breakdown of 100.53. We would buy put options if the pair falls below 100.53.

Asset: USD/JPY
Direction: Put
Target price: 100.53
Expiry time: 20:00 GMT

Disclaimer: The article is written for informative purposes only and it is not financial advice. The author does not have any position in the currency pairs mentioned, and no plans to initiate a position. He wrote the article himself and expressed his own opinions. He has no business nor personal relationships with any mentioned government entities or stocks. Readers should not treat any opinion expressed by the author as a specific inducement to make a particular trade or follow a particular strategy, but only as an expression of his opinion.

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