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Forex Today: USD/JPY, Crude Oil Hit Long-Term High Prices

By Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

Markets have seen Crude Oil and the USD/JPY currency pair rise to new multi-month highs on OPEC cuts and a weakening Yen, although Japan’s Kanda succeeded in talking down the move for now.

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  1. WTI Crude Oil rose strongly yesterday to reach a new multi-month high price, as Saudi Arabia and Russia confirm they will continue supply curbs until the end of 2023.
  2. In the Forex market, the USD/JPY currency pair advanced strongly yesterday to a new 10-month high above ¥148.75 before selling off somewhat after Japan’s top currency diplomat Kanda stated that FX movements were being monitored with urgency while all options remained on the table – a threat of central bank intervention again the continuing weakening of the Japanese Yen. Nevertheless, despite the threat, the price remains not far off its high, and trend traders will be looking to go long on dips or breakouts over the short-term.
  3. The Bank of Canada’s policy meeting later today is expected to see the Bank maintain its overnight rate at 5.00%.
  4. There will be a release of US ISM Services PMI data later today. A value significantly higher than 52.5 will be likely to produce gains by the US Dollar.
  5. Cocoa futures traded at a new multi-year high price yesterday but failed to make a record high close at the end of the day.
  6. Federal Reserve Governor Waller made a dovish remark implying that the Fed can afford to not hike rates as inflation seems to be showing a continued easing.
Adam Lemon
About Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

 

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