US Inflation & Federal Reserve (Fed) Policy:
Market consensus anticipates higher month-over-month (M/M) inflation but lower year-over-year (Y/Y) inflation, suggesting that price pressures remain elevated in the short term but may stabilise over the medium term. Given these dynamics, the Fed is expected maintain a cautious stance—balancing inflation control with economic stability.
Federal Reserve (Fed) Sentiment:
Federal Reserve Chair Jerome Powell will likely adopt a neutral stance in upcoming comments, as medium- to long-term tariff implications remain undefined. However, given the Fed’s data-driven approach, markets may interpret any slight tilt towards caution as dovish, leading to near-term USD weakness.
Bank of Japan (BoJ) Outlook:
The BoJ maintains a medium-term hawkish bias as it looks to raise interest rates to combat domestic inflation gradually. While no immediate policy changes are expected, recent statements from BoJ officials suggest a preference for tightening later in 2024 if inflation remains persistent.
Trade Idea Bearish Case
Entry: Sell on rejection at 154.000 – 155.000
Stop-Loss: Above 155.500
Take-Profit: 152.000
Risk Management: 1:2
Trade Idea Bullish Case
Entry: Buy on retracement to 152.500 – 152.000
Stop-Loss: Below 151.800
Take-Profit: 154.000
Risk Management: 1:2
Market consensus anticipates higher month-over-month (M/M) inflation but lower year-over-year (Y/Y) inflation, suggesting that price pressures remain elevated in the short term but may stabilise over the medium term. Given these dynamics, the Fed is expected maintain a cautious stance—balancing inflation control with economic stability.
Federal Reserve (Fed) Sentiment:
Federal Reserve Chair Jerome Powell will likely adopt a neutral stance in upcoming comments, as medium- to long-term tariff implications remain undefined. However, given the Fed’s data-driven approach, markets may interpret any slight tilt towards caution as dovish, leading to near-term USD weakness.
Bank of Japan (BoJ) Outlook:
The BoJ maintains a medium-term hawkish bias as it looks to raise interest rates to combat domestic inflation gradually. While no immediate policy changes are expected, recent statements from BoJ officials suggest a preference for tightening later in 2024 if inflation remains persistent.
Trade Idea Bearish Case
Entry: Sell on rejection at 154.000 – 155.000
Stop-Loss: Above 155.500
Take-Profit: 152.000
Risk Management: 1:2
Trade Idea Bullish Case
Entry: Buy on retracement to 152.500 – 152.000
Stop-Loss: Below 151.800
Take-Profit: 154.000
Risk Management: 1:2
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.