We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bullish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
GBP/USD
Bullish
USD/JPY
Mixed
Gold
Bullish
Oil - US Crude
Mixed
Bitcoin
Bearish
More View more
Notice

DailyFX PLUS Content Now Available Freely to all DailyFX Users

Real Time News
  • it's time to make this happen https://www.dailyfx.com/registerToSeminar?webinar=3952937094787220994&utm_source=Twitter&utm_medium=DFXGeneric&utm_campaign=twr https://t.co/Jm9LmYaYs1
  • US Treasury Yields Update: 2-Year: 1.742% 3-Year: 1.680% 5-Year: 1.651% 7-Year: 1.725% 10-Year: 1.772% 30-Year: 2.213% $TNX
  • A chart that I don't check as frequently as most majors, indices and the like, $NZDCAD is leaning on some big support https://t.co/bJrEQp5QGt
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 97.67%, while traders in France 40 are at opposite extremes with 85.60%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/KnXJPN0iq9
  • RT @carlquintanilla: NEW: “The United States is set to ramp up the pressure on China if a trade deal is not agreed soon, a key White House…
  • #Oil started this week with a bang after a number a disruption of production in Saudi Arabia following this weekend’s drone attacks.. Get your crude oil #technicalanalysis from @JStanleyFX here: https://t.co/uAw5kJTrfO #OOTT https://t.co/JGydFfVPNK
  • Commodities Update: As of 16:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: 1.07% Silver: 0.51% Gold: 0.39% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/97pkfcSFUv
  • Forex Update: As of 16:00, these are your best and worst performers based on the London trading schedule: 🇨🇭CHF: 0.43% 🇯🇵JPY: 0.40% 🇨🇦CAD: 0.26% 🇬🇧GBP: 0.04% 🇳🇿NZD: -0.32% 🇦🇺AUD: -0.50% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/3SiM0s7ywI
  • Canadian #Dollar Price Chart: $USDCAD Range, #Loonie Breakout Potential - Weekly - https://t.co/yRqgctahvk https://t.co/fWbboNCEHs
  • Join @JStanleyFX 's weekly #webinar on trading price action at 1:00 PM ET/5:00 PM GMT. Register here: https://t.co/hSLfMqTx3G https://t.co/01pPGTCkyx
Key Factors Favor a Much Larger USDJPY Breakout

Key Factors Favor a Much Larger USDJPY Breakout

2014-07-31 15:30:00
David Rodriguez, Head of Business Development
Share:
Key Factors Favor a Much Larger USDJPY Breakout

Receive the Weekly Speculative Sentiment Index report via PDF via David’s e-mail distribution list.

USDJPY A significant shift in trader sentiment warns that the US Dollar may be on the cusp of a major breakout versus the Japanese Yen.

Trade Implications – JPY Pairs: The USDJPY consolidated for just over six months and is attempting to break out. We sense a bit of déjà vu; we saw a very similar stretch of range-bound price action in 2013 before making a 700-point run towards multi-year peaks.

An oversimplified extrapolation puts the USDJPY as high as ¥109 in two months’ time. Though this admittedly seems unlikely, the substantial swing in sentiment suggests this could be the start of a much larger move. The fact that so few expect the major breakout may in fact make it more plausible.

See next currency section:AUDUSD - Australian Dollar Poised for Further Losses

Written by David Rodriguez, Quantitative Strategist for DailyFX.com

Key Factors Favor a Much Larger USDJPY Breakout

Automate our SSI-based trading strategies via Mirror Trader free of charge

To receive the Speculative Sentiment Index and other reports from this author via e-mail, sign up for his distribution list via this link.

Contact David via

Twitter at http://www.twitter.com/DRodriguezFX

provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.