Forex Today: Japanese Yen Sells Off Again

After strengthening quite dramatically last week, this week opens with the Japanese Yen getting sold off against other currencies.

  1. The week has begun with a moderate but firm selloff in the Japanese Yen after the big gains it made last week following two suspected interventions in its favour by the Bank of Japan. Currency crosses often rebound the following week against an unusually large movement the previous week, and this seems to be acting here against the Yen. It may be wise to look for long trades in Yen crosses especially in AUD/JPY, CAD/JPY, and CHF/JPY.
  2. In the Forex market, since today’s Tokyo open, the strongest major currency has been the Australian Dollar, and the weakest major currency has been the Japanese Yen, putting the AUD/JPY currency cross in focus.
  3. Precious metals such as Gold and Silver are edging higher today, and appear to be moving independently, so these assets might be interesting to day traders or even investors.
  4. It is a public holiday in the UK today.
  5. The Reserve Bank of Australia will be holding a policy meeting tomorrow at which it is expected to maintain its Cash Rate at 4.35%.

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