10 March 2022, USD/JPY
USDJPY trading plan:
Recession in North America may be the inevitable. The rapid economic rebound after the pandemic was beginning to decelerate, price increases were accelerating and interest rates were set to rise. The flattening U.S. Treasury yield curve indicated a heightened probability of a mid-cycle slowdown or end-of-cycle recession in the next year. The financial crisis in 2008 and the pandemic in 2020/2021 were demand-side shocks that could be offset by lowering interest rates, buying bonds, cutting taxes and boosting unemployment insurance. The crisis threatens to disrupt global trade in critical raw materials and industrial components ranging from aluminum, nickel and noble gases to car parts, ocean shipping and overland rail freight.
Investment idea: sell 116.30 and take profit 115.77.