FX Breakout Monitor: USDJPY puts on a fireworks show
Head of FX Strategy
Summary: USDJPY has ripped higher in move that looks particularly jolting because of the extremely compressed daily range before the break. If the move holds into the close, the pair is looking at a new 200-day high close and potential for an extension higher.
Today’s Breakout monitor
The FX Breakout Monitor is a concise PDF overview of all current and recent price breakouts for the short and medium term for major FX pairs and spot silver and gold.
Below is a snapshot of the full list of currency pairs we track for the breakout monitor. USDJPY really stands out today for a major break that also saw one of the more notable expansions in trading range.
Besides the big move in USDJPY, we are keeping an eye on the potential for a EURNOK breakdown as a new 19-day low rolls into view in the days ahead and the 10.00 level looks significant to begin with.
Today’s Breakout Highlight: USDJPY
Today's move is about as straightforward as it gets - a tight range in a very quiet market followed by an explosive move higher through a major resistance level - classic momentum move and the softness in safe haven fixed income later in the day brings a bit of fundamental support as well. Arguably, this could open up the upside toward 114.50 - the major resistance level on a number of occasions over the last almost three years.
Quarterly Outlook Q2 2022
Quarterly Outlook Q2 2022: The End Game has arrived
- Shocks from covid and the war in Ukraine have forced the global financial and political world to change, but what will the end game be?
Productivity and innovation have never been more importantAs the world economy hits physical limits and central banks tighten their belts, could equities be facing a 10-15% downside?
The great EUR recovery and the difficulty of trading itIf the terrible fog of war hopefully lifts soon, the conditions are promising for the euro to reprice significantly higher.
Tight commodity markets – turbocharged by war and sanctionsWith supply already tight, commodities keep powering on. But will it last for yet another quarter?
Between a rock and a hard placeGeopolitical concerns will add upward price pressures and fears of slower growth, while volatility will remain elevated.
The Great ErosionInflation is everywhere and central banks try to combat it. But will they get it under control in time?
Australian investing: Six considerations amid triple Rs: rising rates, record inflation and likely recessionWhile global financial markets are struggling in an uncertain world, the commodity-heavy Australian ASX index is poised to keep a positive momentum.
Cybersecurity – the rush to catch up with realityWith the invasion of Ukraine, governments and private companies are rushing to reinforce their cyber defenses.