04 June 2019, USD/JPY
USDJPY trading plan:
Investors expect Federal Reserve interest rates to fall on July 31. This is a negative signal for the U.S. dollar! The reduction in the rate will cause an outflow of capital from us assets. Capital will go to emerging markets. We expect a technical correction in the U.S. stock market that will have a positive impact on the value of USDJPY. The head of the Federal Reserve can point to easing monetary policy today. The Federal Reserve cannot allow a recession in the economy. This is a good signal for the U.S. stock market and USD JPY, which has a correlation with the shares.
Trading recommendation: Buy 107.69 and take profit 108.20.