EURJPY Breaks Out
The recent EURJPY long idea has now triggered and is advancing towards the first target. The pullback in JPY recent has helped this pair move forward. With risk sentiment having broadly improved over recent sessions and with the BOJ reaffirming its commitment to maintaining an easing presence in the market, JPY looks likely to continue lower near term. Additionally, ECB rate hike expectations are taking centre stage on the back of yesterday’s record eurozone inflation print. With upside risks growing into the June 9th ECB meeting, there is plenty of room for this pair to continue higher in the coming week, especially with the retail market having now swung 80% short.
Keep An Eye On
ECB’s Lagarde speaks later today, and her comments will be closely monitored on the back of yesterday’s data. With growing support among ECB members for more aggressive action, traders will be looking for any signal that a hike might be coming sooner than July ( e.g this month) or that July’s hike will be a larger .5% hike, supporting EUR near term.
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With 10 years of experience as a private trader and professional market analyst under his belt, James has carved out an impressive industry reputation. Able to both dissect and explain the key fundamental developments in the market, he communicates their importance and relevance in a succinct and straight forward manner.