DXY Top short term top is in short USDJPY

2 mar 2023

The dollar is in a secular downtrend. After a brief respite I expect the downtrend to resume. The BOJ is currently still defending their YCC and while they will continue this policy a while longer I expect it to be modified and eventually phased out. This will lead to higher yields globally but especially in Japan. This should help to strengthen JPY so I like going long Yen here. If you can't trade forex look at long FXY as a good proxy.