JPY Desk - Thursday 5th February
Good morning all.
I trust you are all well and having fun.
Yesterday was a good day with pips appearing out of the woodwork from all angles.
GBPCHF was a naughty one shortly after the US session, so please don't tell Dan. He'll go nuts and steal my pips!!
Actually, it was good to see that quite a few of you took that trade, so well done.
On to today, I have a cold coming so my judgement might be a little cloudy but EURJPY is the one humming to me. A break below 114.30 is what I am looking for.
GBPJPY is also looking promising but to the upside. Today could be the monster push-up through the monthly pivot day IF USDJPY could pulls its finger out a little.
The 4hr 20 is close to crossing the daily 20 and with cable all set to take-on (in my humble opinion) 1.6000 if the interest rate cut surprises.
Finally, USDJPY looks likely, as per, to do nothing UNLESS it can break weekly pivot at 89.65.
To summarize......
be careful with GBPJPY around these interest rate numbers. Could be very jumpy this morning but sterling still looking pretty strong in the immediate short term so long positions favoured.
IF cable punches through the monthly pivot at 1.4470 GBPJPY will put a big hole in the 130.00 level.
Not expecting too much action prior to the numbers but lets have a little look anyway.
Will keep you posted as the axion unfolds.
Zak