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 USD verses Japanese Yen
 
 1/31/2007 3:16:38 PM
User is offlinehudson
4 posts


USD verses Japanese Yen
The USD/JPY ratio is moving upwards. The trend that starts in September and moves on into October usually continues on to the end of the year. With geo-political uncertainty coming from North Korea, the yen will probably show weakness. The possibility of any further interest rate increases in Japan this year is very slim. On the average the dollar/yen moves about 5% from September to the end of the year. If the dollar continues to rise, it will eventually rise above 122 levels, or last years high. The yen is being short (sell yen to buy dollars) on an unprecedented level, mostly due to interest rate differences. The stock market in the US is bullish, the need for US dollars for Japanese will increase. Chances are there for new dollar/yen highs by the end of this year,as in 2005.
 1/31/2007 3:49:26 PM
User is offlineskylar
6 posts


Re: USD verses Japanese Yen

The dollar has hit a new high for this year. The previous high was 119.40. The next target is 120. However, the yen is already sold way beyond any previous levels. Since there is no sign of the Bank of Japan raising interest rates soon, there is no incentive to buy yen at this point. If anything is to disrupt this trend it would be dollar weakness rather than yen strength. We will have to see how long this North Korea news will last. I do not believe that the dollar will go straight past 120 and beyond, there will be dips, corrections but I think the dollar will go beyond 120 or last year's high of 121 by December. But beware that any fall from new highs can be steep.

 1/31/2007 4:07:11 PM
User is offlinegraham
5 posts


Re: USD verses Japanese Yen
The dollar/yen has finally broken a key downward trend starting from August 1998, when it was 147. It has been going down ever since. February 2002, saw 135 and last year's December 2005, 121, connect the points to a down ward trend line. But recent dollar highs have broken above this trend line, which has lasted a while. This is a technical point and there are many factors, which can influence this new trend. I do not know how long this trend will last but would like to make some money while it does.
 6/1/2010 2:31:07 PM
User is offlineWenalin
22 posts


Re: USD verses Japanese Yen
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