Correlation between USDJPY and stock markets | 30 Septiembre 2021

30 Septiembre 2021, USD/JPY

Correlation between USDJPY and stock markets

USDJPY trading plan:

Growth funds investing in U.S. equities beat their value-focused peers in the quarter, as a COVID-19 resurgence over the summer bolstered the case for investors to shift back into some of the big technology names that led markets during last year’s coronavirus lockdowns, reviving the so-called stay-at-home trade. That move has reversed in recent weeks as Treasury yields shot higher. The average large-cap U.S. growth fund gained 4.6%, while the average large-cap value fund gained 0.9%. The S&P 500 is on track for a 1.4% gain, after rising by nearly 8.2% in the second quarter. This is a good signal for the stock market and USDJPY, which has a correlation with the shares.

Investment idea: buy 111.70 and take profit 112.19.

David Johnson
Analyst of «FreshForex» company
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