USD/JPY Technical Analysis
The U.S. dollar has risen against the Japanese yen only to turn around and show signs of weakness or better put, probably exhaustion. So, with that being the case, I look at this as a market that given enough time will have to come to grips with the idea that a short-term pullback probably makes more sense than not. And we are going to be looking to do something about this gap. This, at least from a technical analysis standpoint, could drop all the way down to the 149 yen level, but I’m not really looking for that move. I think we probably got a little bit more juice in this market than that, but regardless, the one thing I will be looking for is a drop and then a bounce. At that point, then maybe I can get involved, but it’s difficult to chase all the way up here.
AUD/USD Technical Analysis
The Australian dollar has gone back and forth during trading on Thursday, and now it looks like we’re just going to continue more of this sideways nonsensical malaise, where we just aren’t going anywhere. We’re hanging around the 50 day EMA. And I do think, though, that if the US dollar suddenly takes off against other currencies, it probably sends the Australian dollar towards a 0.64 level. On a move higher, 0.67 should be significant resistance.
