USDJPY Bullish Move Looks Extended, Wait for China's Clue
USDJPY showed strength as market sentiment improved on the back of US-China trade talk.
Technically, price reaches 1.618 level of fibonacci extension and the moves look extended.
Expecting a pullback of the move from current level.
The major catalyst for the pair will be Li Keqiang's speech on Tuesday. Market waits for the details from his speech on:
1. China's economic growth projection
2. Yuan's independence from intervention by Chinese's Government
March is the end of fiscal year for most major corporations in Japan. Expect repatriation flow that can strengthen Yen especially during European market open.
US Chief Trade Negotiator, Robert Lightizer highlighted the valuation of Yen and the role of Japanese's authority in devaluation of JPY. Japan Manufacturing PMI continues to highlight the deteriorating sentiment in private sector.
Technically, price reaches 1.618 level of fibonacci extension and the moves look extended.
Expecting a pullback of the move from current level.
The major catalyst for the pair will be Li Keqiang's speech on Tuesday. Market waits for the details from his speech on:
1. China's economic growth projection
2. Yuan's independence from intervention by Chinese's Government
March is the end of fiscal year for most major corporations in Japan. Expect repatriation flow that can strengthen Yen especially during European market open.
US Chief Trade Negotiator, Robert Lightizer highlighted the valuation of Yen and the role of Japanese's authority in devaluation of JPY. Japan Manufacturing PMI continues to highlight the deteriorating sentiment in private sector.