USD/JPY simply retested the massive 145.00 for a 3rd time this month!
Will we see a breakout within the subsequent buying and selling periods?
Earlier than shifting on, ICYMI, yesterday’s watchlist checked out EUR/JPY’s Head and Shoulders sample breakout after Russia introduced a partial army mobilization. Remember to try if it’s nonetheless a legitimate play!
And now for the headlines that rocked the markets within the final buying and selling periods:
Recent Market Headlines & Financial Knowledge:
U.S. present house gross sales fall for the seventh straight month to 4.8M in August
U.S. crude oil inventories up by 1.142M barrels, beneath expectations of two.161M print
As anticipated, Fed raised its rates of interest by 75bps to three% – 3.25%, the very best since early 2008
New Fed dot plot suggests one other 125bps enhance till finish of 2022, “terminal fee” of 4.6% and no fee cuts in 2023
U.S. GDP seen slowing all the way down to 0.2% in 2022 vs. 1.7% estimated in June
U.S. unemployment fee adjusted increased from 3.7% to three.8% in 2022, and will hit 4.4% by 2023
U.S. headline inflation (as measured by PCE) to decelerate to five.4% by finish of 2022, anticipated to hit 2.8% by finish of 2023
NZ client confidence picked up from 78.70 to 87.60 in Q3 2022
NZ commerce deficit up from 2.1B NZD to 2.4 NZD in August
BOJ’s financial insurance policies unchanged as anticipated
EU-27 comply with impose new sanctions towards Russia after Putin’s mobilization
SNB’s financial coverage determination and presser at 7:30 am GMT
BOE’s coverage determination at 11:00 am GMT
U.S. preliminary jobless claims at 12:30 pm GMT
Eurozone client confidence at 2:00 pm GMT
AU flash manufacturing and companies PMIs at 11:00 pm GMT
Use our new Forex Warmth Map to shortly see a visible overview of the foreign exchange market’s value motion! 🔥 🗺️
What to Watch: USD/JPY
Earlier at this time the Financial institution of Japan (BOJ) introduced that it could preserve its financial insurance policies unchanged in September.
The choice highlighted the distinction with the Fed, which has raised its charges by 75bps for a 3rd time AND urged much more fee hikes till subsequent 12 months.
USD/JPY, which had been hugging its pattern line help, shot as much as the 145.00 psychological deal with earlier than buying and selling again beneath the resistance determine.
Will we see an upside breakout within the subsequent buying and selling periods?
The chances level to much more shopping for as extra merchants value within the BOJ and Fed’s financial coverage divergence.
Look out for a break after which retest of the 145.00 deal with earlier than USD/JPY heads for brand spanking new month-to-month highs.
Try USD/JPY’s common volatility to get clues on the place you need to place your exit factors!