Long USDJPY following Shinzo Abe
Following the additional stimulus of over 20 trillion yen announced early today by Shinzo Abe, I think that investor sentiment in the Japanese economy will be largely boosted, causing increased long positions in this pair, pushing up the price.
Why now and why 110 yen?
There has been a lot of choppy behaviour based mostly on structural moves recently, and I think that this announcement will be enough to break it out of this state.
Buy now because this is at a pullback point following the initial post-announcement rally.
110 is for me a bit of a psychological point on this pair, as it hung around that point for a while on its descent earlier in the year. This for me is a good target.
Why now and why 110 yen?
There has been a lot of choppy behaviour based mostly on structural moves recently, and I think that this announcement will be enough to break it out of this state.
Buy now because this is at a pullback point following the initial post-announcement rally.
110 is for me a bit of a psychological point on this pair, as it hung around that point for a while on its descent earlier in the year. This for me is a good target.
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