Correlation between USDJPY and the U.S. stock market | 04 سبتمبر 2020
04 سبتمبر 2020, USD/JPY
USDJPY trading plan:
The US Federal Reserve balance has increased by $ 17 billion over the past week, reaching a two-month high. The Fed continues to buy Treasury and mortgage bonds on its balance sheet and will do so for at least the next year. The S&P500 stock index has historically been correlated with the Fed's balance sheet. Yesterday's correction in the stock market offers a great opportunity to buy a stock index at a discount. This is a good signal for the stock market and USD JPY, which has a correlation with the shares.
Trading recommendation: Buy 106.11 and take profit 106.45.
The author's opinion reflects their personal view and is not an investment recommendation. The company is not responsible for any trading results based on the provided analytical data.
