Trial now

Pullback Considered Corrective


Holding Above Recent Lows


BLOCK, Large 3Y Midcurve Put Condor

YEN: The JPY benefitted from the release of US President Trump's tariff plans in
US hours, and has continued to advance. USDJPY trades at 106.05 (with Japanese
domestic bids in front of the figure noted), EURJPY at 130.15 & AUDJPY 82.35 as
the Nikkei trades 2.80% lower.
- China's response to the tariffs is keenly awaited after the EU & Canada
quickly issued statements in lieu of the US statement.
- USDJPY technicals suggest that continued hesitation ahead of Y108.03-42 has
left the pair looking heavy and retains immediate bearish focus on a retest of
2018 lows. A close below Y105.50 remains needed to reconfirm focus on
Y98.95-101.16. Resistance layers are accumulating and weighing.
- For EURJPY Continued fresh 2018 & 6mth lows leave the pair looking heavy with
overall focus shifting to Y125.80-127.54. 
- For AUDJPY technicals suggest that bears take comfort in continued fresh 2018
& 8mth lows that add weight to the case for a test of Y81.47 2017 lows that have
been bearish focus for the past couple of weeks.
MNI London Bureau | +44 0203-865-3809 |