1. Hello Guest Click here to check FX Binary Point Financial Directory

USD/JPY: bullish on BoJ - Scotiabank

Discussion in 'Fundamental Analysis' started by FXStreet_Team, Feb 1, 2016.

  1. FXStreet_Team

    FXStreet_Team Well-Known Member Trader

    Oct 7, 2015
    Likes Received:
    FXStreet (Guatemala) - Analysts at Scotiabank noted that JPY is flat, consolidating around its 200 day MA, constrained by pressure from fundamentals and relative central bank policy, offset by support from the broader tone of risk aversion.

    Key Quotes:

    "We note the lack of a specific response to the release of PMI’s (both domestic and China’s official/Caixin private sector measure).

    Fundamentals are bearish for JPY, as we consider the renewed divergence in relative central bank policy following Friday’s surprise BoJ shift to negative rates.

    With regards to sentiment, we note that JPY is vulnerable to positioning with Friday’s CFTC data detailing a net long JPY position of $5.3bn (as of January 26—pre-BoJ), its most bullish since early 2012."
    For more information, read our latest forex news.

Share This Page