EURJPY STERILIZATION HAMMERED JPY-PAIRS TO DOWNWARD TEMPORARY

The BOJ and ECB on-going market sterilization on EURJPY after hitting the level of 15 % width of medium term exchange rate target zone as permitted by the applicable inter-central banks communication policy will continue to pressure other JPY pairs to downward until they reach their average weighted rates at their lower monthly bands (collectively). However, reaching the lower monthly bands will not stop the EURJPY to move to downward and will continue by the sterilization.

The result of those pressure will pressure the USDJPY to downward and may break that 108.50 by moving to downward in parallel to EURJPY, except the BOJ and the FED sterilize the USDJPY at 108.50 in the future.

Re-long on the NZDJPY, AUDJPY, CADJPY and GBPJPY is subject to their average weighted rates at their lower monthly bands to be defended by the market participants. At such, risk could be mitigated by assuring the turning at their weighted rates at their lower monthly bands to look for the opportunity to trade the balance of their current medium term exchange rate target zones.

All my option tradings on JPY pairs are made to downward for 1-10 days.

הערה:

Aggressively, I place fall option tradings on all JPY-pairs (exception USDJPY) on 12-24 hours intervals until they reach their lower monthly bands.

הערה:

The short on EURJPY and GBPJPY remains on hold to target.

הערה:

How low the JPY pairs to downward will be updated for signal buyers, but look closely on USDJPY at 108.50, currently 109.80 thus over 100 PIPs to go.

הערה:

JPY pairs remains to downward until they reached their lower monthly bands at which level their next movement could be predicted