USD/JPY Forecast: Continues to Threaten a Breakout

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Interest Rate Differentials Favors the Dollar USD interestrates

, and of course, it is a large, round, psychologically significant figure. The ¥145 level has also been important in the past, so does make a certain amount of sense that we will be paying close attention to the action in that area. The size of theis reasonably strong, but it is worth noting that we did stop right at the ¥145 level.

At this point, the market is unlikely to see any serious selloff until we break down below the ¥135 level. If we do that, then we start to ask serious questions, but I just don’t see that happening anytime soon. In fact, I am more than willing to buy the next dip as there are plenty of value hunters out there just waiting to get involved in this market as it is essentially a “one-way trade.”

 

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