Markets are starting to wake up to systemic risks. “‹”‹”‹”‹”‹”‹”‹Italy and European politics driving risk-off sentiment. USD/JPY has been chipping away to the downside and had made a fresh low of 108.10 in NY trade, stabilising there with most of the hard work done by the bears in European trade during the politically provoked bloodbath in the markets. At the time of writing, USD/JPY is trading at 108.42 in a calmer setting for the yen that picked up a strong bid in risk-off play on the back of the Italian contagion that has woken up investors to the systemic risks posed by the rise of populism once again. Global equities in a bloodbath European equities finished up as follows: Italy’s FTSE MIB is down -2.65% Portugal’s PSI20 is down -2.58% German Dax is down -1.6% France’s Cac is down -1.4% UKs FTSE is down -1.2% Spain’s Ibex is down -2.2% As for Wall Street: The DJIA closed down -391 points or 1.58% at 24361. The low reached 24247 at the lows. The S&P fell -31.47 points or -1.16% at 2689.86 and the Nasdaq fell -37.26 points or -0.50% at 7396.59. Trade wars back in vogue At the same time, trade war angst came back into vogue. Trump has set dates for June for various tariffs on Chinese imports ahead of the next round of talks with Bejing due to take place as soon as this weekend. USD/JPY levels Support 1: 108.10 recent low. Support 2: 108.18 PP 1M, 100-D SMA meets 50-D SMA. Support 3: 106.82 S1 1M Resistance 1: 109.10 BB WB break up point. Resistance 2: 109.76/92 21-D SMA / PP-1W Resistance 3: 110.89 R1-1W Valeria Bednarik, chief analyst at FXStreet explained that in the 4 hours chart, the pair has accelerated well below the 100 and 200 SMA, while technical indicators resumed their declines and reached fresh 1-week lows, heading into the Asian opening with a strong downward momentum. The 100 DMA stands at 107.70, a probable bearish target for the upcoming sessions should risk sentiment continues. FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next PBOC set the Yuan reference rate at 6.4207 FX Street 5 years Markets are starting to wake up to systemic risks. "‹"‹"‹"‹"‹"‹"‹Italy and European politics driving risk-off sentiment. USD/JPY has been chipping away to the downside and had made a fresh low of 108.10 in NY trade, stabilising there with most of the hard work done by the bears in European trade during the politically provoked bloodbath in the markets. At the time of writing, USD/JPY is trading at 108.42 in a calmer setting for the yen that picked up a strong bid in risk-off play on the back of the Italian contagion that has woken up investors to the systemic… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
