Fundamental Analysis:
Yen as being a fundamentally bearish currency as inflation in Japan continues to remain far below the BoJ's target with no sign of improvement. This will eventually leave the BoJ with no other alternative but to further ease monetary policy. In the other hand, USD has a strong bullish expectations because the FED is going to hike 3 times its rates this year. The Fed's first interest rate hike of 2017 is likely to come next month because of inflation indicators.
Sentiment Analysis:
By the date provided by the COT, we can see that the sentiment in the long term for the JPY is bearish
Technical Analysis:
In the price we can see a nice bull harmonic pattern ( 5-0) with the Elliot Wave theory trying to catch the C wave
Trading Levels
Buying at : 112.889
Stop :111.23
1St Trg :114.60
2Nd Trg :116.49
Yen as being a fundamentally bearish currency as inflation in Japan continues to remain far below the BoJ's target with no sign of improvement. This will eventually leave the BoJ with no other alternative but to further ease monetary policy. In the other hand, USD has a strong bullish expectations because the FED is going to hike 3 times its rates this year. The Fed's first interest rate hike of 2017 is likely to come next month because of inflation indicators.
Sentiment Analysis:
By the date provided by the COT, we can see that the sentiment in the long term for the JPY is bearish
Technical Analysis:
In the price we can see a nice bull harmonic pattern ( 5-0) with the Elliot Wave theory trying to catch the C wave
Trading Levels
Buying at : 112.889
Stop :111.23
1St Trg :114.60
2Nd Trg :116.49