Negative macroeconomic statistics from Japan | 22 May 2020

USDJPY trading plan:

We are expecting an uptrend to develop. Negative macroeconomic statistics from Japan will have a positive impact on the value of USDJPY. EBITDA for Topix index companies fell 26% in January-March, compared with the same quarter last year, according to Bloomberg-compiled data. That’s based on results from more than 80% of the benchmark gauge’s components, as many companies have delayed results amid the impact of the COVID-19. Social distancing has crimped consumer spending; companies have cut investments and exports have slid. Analysts forecast a 21.5% contraction in GDP in the June quarter, a record for official data going back to 1955.

Trading recommendation: Buy 107.45 and take profit 107.85.