Forex USD/JPY daily chart

USD/JPY – in sync with political capers

Since the election of Donald Trump on 09.11.2016, a good six months has passed by now. The initial hype surrounding the unusual president of the USA has dried up and so far, Mr. Trump has been unable to put any of his campaign promises into practice. In all probability, the repeal or the alteration of Obamacare will fail in the senate once again.

It is fascinating to observe that the price of the USD/JPY has taken a similar course to the political situation in the USA (image 1). An initial upswing for the US dollar was followed by ups and downs in amusing synchronicity with the capers of the 45th US president.

 

Forex USD/JPY daily chart

USD/JPY daily chart

 

Since in the financial world, the Yen is viewed as a safe-haven currency, it is not surprising that a downward trend has formed out of this situation. In the meantime, after the last movement, the price has laid down a deep correction and is showing the first signs of weakness. A falling trend line and the statements of Mr. Trump could favor a renewed movement in the short direction. In any case, there is sufficient breathing room for the development of a trend, and there is still plenty of space until the magic mark of 100,00.

We will keep an eye on the value until a favorable signal occurs or the highs at approx. 113,00 are sustainably broken. This phase is currently in a run-up, and is facing a decision. If this occurs, we would first have to newly evaluate the value.

Before making an entry, one should take the news from the corresponding countries into account. Similarly, one should keep an eye on the interest rate development of the large economic areas and the commodities market.

IMPORTANT NOTE:
Exchange transactions are associated with significant risks. Those who trade on the financial and commodity markets must familiarize themselves with these risks. Possible analyses, techniques and methods presented here are not an invitation to trade on the financial and commodity markets. They serve only for illustration, further education, and information purposes, and do not constitute investment advice or personal recommendations in any way. They are intended only to facilitate the customer’s investment decision, and do not replace the advice of an investor or specific investment advice. The customer trades completely at his or her own risk.

USD/JPY – in sync with political capers
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