Receive the Weekly Speculative Sentiment Index report via PDF via David’s e-mail distribution list.
Trade Implications – JPY Pairs: Our retail sentiment-based Momentum2strategy has done well buying into Japanese Yen declines (USDJPY, EURJPY, GBPJPY gains), but the same strategy has most recently bought the JPY on early signs of a potential bounce. Indeed, we highlight three key factors that may favor a USDJPY pullback through near-term trading.
Major tops and bottoms are only clear in hindsight, and it is especially difficult to call reversals on such one-sided currency trends. Yet we can’t ignore these signs of a potentially significant shift in JPY exchange rates.
Written by David Rodriguez, Quantitative Strategist for DailyFX.com
Automate our SSI-based trading strategies via Mirror Trader free of charge
To receive the Speculative Sentiment Index and other reports from this author via e-mail, sign up for his distribution list via this link.
Contact David via
Twitter at http://www.twitter.com/DRodriguezFX
Facebook at http://www.Facebook.com/DRodriguezFX