This post looks at three alternative strategies that you can use to trade Japanese yen. Yen has some unique attributes that set it apart from other currencies. It is the third most traded currency after the US dollar and the euro.
Brexit offers some unique opportunities for the contrarian trader. In this article I'll explain why I am trading against the crowd and what my trade setup for this momentus event will be.
a competitive devaluation, also known as a currency war, represents a situation in which a central bank decides to manipulate its currency to make it weaker in order to boost the competitiveness of its economy.
The Federal Reserve released its minutes today and confirmed what many had suspected. The delay in tightening monetary policy was close but weakness in the global economy tipped the balance on the side of caution.
The Bank of England held tight again this month with a vote to keep interest rates unchanged at 0.5 percent. Few analysts see tightening getting underway before next spring.
The Australian dollar was also in upbeat mood. Yesterday’s meeting of the Reserve Bank kept interest rates on hold at 2 percent (as widely expected) for the sixth month. The weakness in US fundamentals gave traders an excuse to buy the beaten down Aussie again.
Tomorrow will also mark the Bank of England’s October monetary policy committee meeting and release of their policy statement. No change in rates or QE is expected but the statement will be closely scrutinized
The US dollar recovered somewhat after sharp falls at the end of last week. The greenback pushed higher against the British pound and the euro both of which were suffering on weak fundamentals. USD/JPY also rallied upwards as risk appetite improved and the yen saw an outflow of funds.