Correlation USDJPY and S&P500 | 11 مايو 2020

USDJPY trading plan:

A bullish rally in the stock market will have a positive impact on the value of USDJPY. The strong end to the week for stocks came as U.S.-China trade tensions eased, after both sides reportedly said they expected to meet their obligations under the Phase 1 agreement signed in January. In a sign of strong risk appetite, the CBOE Volatility Index, or fear index, fell 8.2% to a more-than-two-month low. The Federal Reserve, which has bought more than $1.5 trillion of Treasuries in daily operations over eight weeks in an effort to restore smooth market functioning during the COVID-19 pandemic, on Friday said it would buy securities at a pace of about $7 billion a day May 11-15. This is a positive factor for the stock market!

Trading recommendation: Buy 106.90 and take profit 107.25.