Japanese politicians are becoming some somewhat anxious with the rapid fall of USD/JPY. Can this mark a turnaround in the fate of the currency? Or perhaps a necessary correction? The team at Credit Agricole weighs in: Here is their view, courtesy of eFXnews: In our latest FX Monthly Cease-fire broken we revised our JPY forecasts lower due to stronger than expected political and monetary policy pressures in Japan. However with the market already at an extreme short JPY position, we think a circuit-breaker could be tripped this week seeing at least a short-term USD/JPY correction towards 116.50. While the magnitude of such a correction may seem small given the pace of recent USD/JPY gains, we note many buyers are unlikely to wait too long to add to positions given uncertainty surrounding December the elections. As such after this correction, JPY selling should resume seeing USD/JPY rise to our end-of-year 118.0 target. Note also that while a government debt downgrade remains risk, any rating agency action is unlikely to come before the elections. For lots more FX trades from major banks, sign up to eFXplus By signing up to eFXplus via the link above, you are directly supporting Forex Crunch. Yohay Elam Yohay Elam Yohay Elam: Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I've accumulated. After taking a short course about forex. Like many forex traders, I've earned a significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I've worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts. Yohay's Google Profile View All Post By Yohay Elam Opinions share Read Next USDJPY unstable FxPro - Forex Broker 7 years Japanese politicians are becoming some somewhat anxious with the rapid fall of USD/JPY. Can this mark a turnaround in the fate of the currency? Or perhaps a necessary correction? The team at Credit Agricole weighs in: Here is their view, courtesy of eFXnews: In our latest FX Monthly Cease-fire broken we revised our JPY forecasts lower due to stronger than expected political and monetary policy pressures in Japan. However with the market already at an extreme short JPY position, we think a circuit-breaker could be tripped this week seeing at least a short-term USD/JPY correction towards 116.50. While the magnitude… Top 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.
