DislikedAt the moment we have demolished most technical resistance lines... there is nothing to stop it, bar direct BoJ intervention, from falling to the 76.50 area.Ignored
- #31,567
- Sep 28, 2012 12:50am Sep 28, 2012 12:50am
I respect the market forces. But there is no force on earth who can get past BoJ and go below 75.50 I think 
Anything below that and we will have big multinationals going bust in Japan. They won't let that happen.
Anything below that and we will have big multinationals going bust in Japan. They won't let that happen.
- #31,568
- Sep 28, 2012 12:52am Sep 28, 2012 12:52am
- | Joined Oct 2011 | Status: Trader | 1,247 Posts
I respect the market forces. But there is no force on earth who can get past BoJ and go below 75.50 I think
Anything below that and we will have big multinationals going bust in Japan. They won't let that happen.
The CEO of Nissan said the rate needs to be near 110 yesterday !
I'm with you on that one Holmes I'm adding longs on the way down
- #31,569
- Sep 28, 2012 12:56am Sep 28, 2012 12:56am
sure the amount EURCHF was more, but they still can tolerate more appreciation.
And probably because of its international importance, they are not willing to do any kind of PEG or what so ever. And they rather won't- or some day by a suprise they will say "Sup guys, now the peg is 100.00 look how we do an intervention!"
One thing i must admit, that there is very little volatility on U/J, it is consequently and slowly moving down. The whole market is making fun of Japan easing now, showing them, they ,mean shit, and can be destroyed as the market please.
It is true, that there are no fundamentals behind the strenght of yen, beside its safe heaven status- Japan is in stagnation for many years for now, they debt is so high, that all european countries can learn from them how to borrow money, and there are now views for the situation to change. Especialy when you got so many exporting companies and strongest currency is the world
- #31,570
- Sep 28, 2012 12:57am Sep 28, 2012 12:57am
I see what you mean but they have been saying that since 90 then 80 and they are still saying it.
The CEO of Nissan said the rate needs to be near 110 yesterday !
If the currency gets any stronger there will be blood, blood of the bedrock of Japanese corporations.
I think, we will see 110 levels again in not too distant future. But we have to force BoJ' hand first. We need to take it to the 75 levels, double dip. Then they will come out with their samurai sword and slash and hack everyone on the FX market
- #31,574
- Edited 3:19am Sep 28, 2012 2:22am | Edited 3:19am
- | Joined Oct 2011 | Status: Trader | 1,247 Posts
- #31,578
- Sep 28, 2012 5:26am Sep 28, 2012 5:26am
Are you expecting based on the Risk Off from the above details?
ie money into the Yen as a safe haven
100 Pips is a long downward move from current levels.
In short, yes, safe haven buying of Yen. But we will see some sort of reaction at 76.50 levels. I am expecting a near 150-200 pip bounce back up, once and if we get there.