USD/JPY Discussion

We are now clear of 12.32, looks like more weakens of USD/JPY to come.

Yen Futures M5 (week so far)

Updated chart from above.
Next resistance 12.44.

Yen Futures M5 (week so far)

im getting for myself for the good position for the super long.

closed at 80.97

anyone got that ? i think we might expect a longer 100pips swing up anytime or will it hit a new low ?

Sorry, but 4ex was nearer the truth with his "bend me over" charge than you with "exact interest rate differential". The swap is really a sole matter of broker's decision and the differentials between brokers can be quite big. Just for a fast illustration, my broker has a negative swap for some pairs in both directions (eg. USDCHF, EURGPB) and up to recently he gave a positive swap on Aussie and Kiwi pairs only. And still, he is one of the best American brokers and not a small one (or bucket shop) and I would certainly not leave him because of this.

Whoah, big aftershock. I actually felt that one in central Honshu

Earthquake shakes buildings in Tokyo according to a witness - Magnitude 6.2
GLOBAL NEWS
Source: RTRS

Epicenter was actually west of Tokyo. Feels like the whole country is shaking itself to bits....

USDX now breaking through the ascending trend line on M1.
Again, another key level which could help push USD/JPY lower.

USDX M1

might hit new low , im stayin out of this. too risky. MACD shows south is very strong

USDX is sitting on support on M5.
Break below will push us lower on USD/JPY.

USDX M5

Yen futures coming up to test recent resistance.

Yen Futures M5 (week so far)

Japan Spirals Into Bankruptcy?

Japan is drifting helplessly towards a dramatic fiscal crisis. For 20 years the world's second-largest economy has been able to borrow cheaply from a captive bond market, feeding its addiction to Keynesian deficit spending – and allowing it to push public debt beyond the point of no return. The rocketing cost of insuring against the bankruptcy of the Japanese state is telling us that the model has smashed into the buffers. Credit default swaps (CDS) on five-year Japanese debt have risen from 35 to 63 basis points since early September. Regime-change in Tokyo and the arrival of Yukio Hatoyama's neophyte Democrats – raising $550bn (£333bn) to help fund their blitz on welfare and the "new social policy" – have concentrated the minds of investors at long last. "Markets are worried that Japan is going to hit a brick wall: the sums are gargantuan," said Albert Edwards, a Japan-veteran at Société Générale. Yukio Hatoyama (pictured left), the new Japanese prime minister, has several large challenges to tackle ... Simon Johnson, former chief economist of the International Monetary Fund (IMF), told the US Congress last week that the debt path was out of control and raised "a real risk that Japan could end up in a major default". The IMF expects Japan's gross public debt to reach 218% of gross domestic product (GDP) this year, 227% next year, and 246% by 2014. This has been manageable so far only because Japanese savers have been willing – or coerced – into lending for almost nothing. The yield on 10-year government bonds has been around 1.30% this year, though they jumped to 1.42% last week. – Telegraph

http://thedailybell.com/578/Japan-Sp...ankruptcy.html

Tokyo Electric Power says water level at Fukushima Daiichi number 2 reactor recovering smoothly - Source: Reuters

way to go !!! better than winning 100 pips !

USDX coming down to test next support at 76.37 then on to 76.30 to clear todays low.

USDX M5

Yen futures look to be teasing resistance too.

Yen futures M5

looks like its determined to break .

Slapping on the pressure for the final support area at 80.50 with stops below.

USD/JPY M5