Yen is too cheap?

[Came2Win]

Over past few months yen lost quite much of its value. It was hammered down. Well that is what BoJ and Japan’s government wanted. At least that is what they always said that they wanted. So they should be happy about it.

But recently news started to pop that officials in Japan are actually saying that yen is too cheap, dangerously cheap and so on and so forth. So how comes. And to be fair, it is not that cheap looking to historical perspective. We have very long way to reaching at least something near to historical lows.

 

[malaguti]

Over past few months yen lost quite much of its value. It was hammered down. Well that is what BoJ and Japan’s government wanted. At least that is what they always said that they wanted. So they should be happy about it.

But recently news started to pop that officials in Japan are actually saying that yen is too cheap, dangerously cheap and so on and so forth. So how comes. And to be fair, it is not that cheap looking to historical perspective. We have very long way to reaching at least something near to historical lows.

of course they will say its cheap. They are hardly going to say don't invest in the Yen, its way too expensive. Go away foreign investment, wait for a better time to invest.

 

[new_trader]

Over past few months yen lost quite much of its value. It was hammered down. Well that is what BoJ and Japan’s government wanted. At least that is what they always said that they wanted. So they should be happy about it.

But recently news started to pop that officials in Japan are actually saying that yen is too cheap, dangerously cheap and so on and so forth. So how comes. And to be fair, it is not that cheap looking to historical perspective. We have very long way to reaching at least something near to historical lows.

Economics Minister Akira Amari correctly stated that "Yen weakness could hurt people by raising import prices."

But this goes against Government and mainstream inflationist propaganda who say that a weak currency is needed to boost exports. So, Akira was probably taken behind the shed where he had his mind fixed by the dumbass Keynesian politicians.

The Japanese government reiterated that excessive Yen strength is being corrected and that cabinet ministers are not deliberately making statements on the demerits of a weaker currency.

Remember, this is now an era of currency wars. Each Government will in turn debase their worthless fiat rubbish, the perverse idea being to beat your enemy by destroying yourself.

 

[Mr. Charts]

"debase their worthless fiat rubbish, the perverse idea being to beat your enemy by destroying yourself."

Traditional Japanese attitude like hari-kiri LOL

 

[Ambrose Ackroyd]

Dick

 

[Jason101]

I have not given any consideration to the reasons for the Yen movements at all.
But I have been making money on it as a longer term trend follower.

Do you think this matters?

This is a serious question that I would be interested in opinions on.

 

[BeginnerJoe]

I have not given any consideration to the reasons for the Yen movements at all.
But I have been making money on it as a longer term trend follower.

Do you think this matters?

This is a serious question that I would be interested in opinions on.

So what you really what to know is: should you bail on your shorts ? What does your trend following rule says about when to exit ?

 

[Jason101]

Oh no, I would not bail until it stops trending. It’s just that once I used to look into fundamentals.
I would want to understand why something is moving before trading. Or to have a fundamental idea for a trade (such as downloads bankrupting HMV.) and then look at the ta. But recently I have not bothered with news, macro’s or anything like in the posts above.

I am just wondering if I am getting lazy or getting to the opinion that it does not matter because all known knowledge is already priced in?
Do you lot out there think the above type of posts (macro & news) are worth thinking about before trading? (from a longer term trend follower).

 

[Mr. Charts]

Dick

Good to see you back again