Yen Jumped as Fed Powell Knocked Down Dollar and Yields
Action Insight Weekly Report 12-3-22
Yen Jumped as Fed Powell Knocked Down Dollar and Yields

The tone of the markets was well set by Fed Chair Jerome Powell's indication of smaller rate hike in the upcoming FOMC meeting. The biggest reactions were found in treasury yields, which decline was surprisingly steep. US stocks ended higher but upside momentum appeared to be diminishing.

Dollar was sold off broadly and closed as the second worst performer, next to Canadian. Australian Dollar was actually the third weakest, arguing that risk-on sentiment wasn't that solid. Yen was the strongest, as supported by falling yields, followed by Kiwi and then Sterling. Euro and Swiss Franc ended mixed.

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USD/JPY Weekly Outlook

USD/JPY's fall from 151.93 resumed last week and hit as low as 133.61. Initial bias stays on the downside this week for 133.07 medium term fibonacci level or further to 55 week EMA. On the upside, break of 137.66 support turned resistance will turn intraday bias neutral first. However, near term risk will stay on the downside as long as 142.24 resistance holds, even in case of recovery.

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EURUSD | USDJPY | GBPUSD | USDCHF | AUDUSD | USDCAD

EURJPY | EURGBP | EURCHF | EURAUD | GBPJPY

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