According to Tomoko Fuji, a currency strategist at Bank of America Merrill Lynch, the retracement formed by USDJPY over the last 4 weeks now seems to be exhausted.
He expects the Fed reserve to abstain from further quantitative easing. He says Japan’s external trade balance will improve. The growing Japanese export to the US testifies to stable economic growth in the world’s biggest economy. The overall fundamental picture suggests a rally of USDPY on condition that the Fed Reserve doesn’t make any changes to its policies till April 25th and the Bank of Japan expands its QE program on April 27th.
Forex.
According to , the Japanese Yen continues weakening against the US Dollar. The closest major level of resistance for USDJPY is the Mf sloping channel. A break and consolidation above it will confirm the completion of the long-term downtrend represented by wave A/B of Daily. The current upswing will be completed as soon as the price breaks the MF pivot 81.38.
