Tickmill's Investing Diva, USDJPY Outlook 21-02-20
USDJPY Outlook - On Thursday Japan confirmed two deaths from coronavirus, which resulted in a further selloff of the Japanese Yen. Meanwhile, the Australian economy added 13.5K jobs in January, but still the jobless rate up from 5.1% to 5.3% vs. 5.2% forecast.
On Friday we’ll be focused on the Euro-Zone Consumer Price Index (YoY) (JAN). Today I’m looking at the USD/JPY pair which saw the biggest gains compared to most of the other major currency pairs… and it reached the key resistance level of 112.11 for the first time since last April.
The bears jumped in to take profit early hours during the Asian session so we may see a temporary pullback here, but if the coronavirus fear continue in Japan, we could see continue higher.
On the other hand, if the virus gets more serious in the US, the trader may start dumping the USD.
What do you think the real reason is behind the JPY selloff?
Head over to the comments section and let me know!
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Disclaimer: The material provided is for information purposes only and should not be considered as investment advice. The views, information, or opinions expressed in the text belong solely to the author, and not to the author’s employer, organization, committee or other group or individual or company.
Past performance is not indicative of future results.
High Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75% and 75% of retail investor accounts lose money when trading CFDs with Tickmill UK Ltd and Tickmill Europe Ltd respectively. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
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