Afternoon Scarecru,
Am flat Yen pairs as they hit major technical levels on my weeklies. Didn't expect the move to happen so quickly but believe we need further Bull in equities to sustain more upside move in Yen pairs. For Japan to shift the load onto other economies via weaker Yen the other economies have to be strong enough to bear the extra load.
If we get a retrace will get back in or if Equties breakout would expect a breakout in the Yen crosses as well.
The pending Government shutdown is good in my view as it indicates somebody in Washington is actualy listening to the people who sent them there. Maybe the out of control Government spending will actually be addressed instead of being swept under the carpet.
Without reining in spending the fiscal demands would force the Fed to monetize further and the USD would cease to exist. The World cannot function if the US does not contribute as the result would be, from a collapsed currency.
The USD remains grossly oversold based upon market expectations of Fed capitulation and forced monetization. But as we have seen, the world as we know it can change on a dime as some trigger event occurs,
Thus would not chase the dollar bears at this time. May miss a great move but such is life. Have reentered USD based pairs long, on a contrarian strategy looking for a real world trigger event. Perhaps we are there now with a US government shutdown leading to equity reversal.
Silly time is over in Washington and the last election put some fire breathing people into the US Congress. Business as usual is over. This is not a pissing match but a real difference in a living philosophy.
History of the US is replete with these kind of fundamental clashes which led to real change in time.
Am flat Yen pairs as they hit major technical levels on my weeklies. Didn't expect the move to happen so quickly but believe we need further Bull in equities to sustain more upside move in Yen pairs. For Japan to shift the load onto other economies via weaker Yen the other economies have to be strong enough to bear the extra load.
If we get a retrace will get back in or if Equties breakout would expect a breakout in the Yen crosses as well.
The pending Government shutdown is good in my view as it indicates somebody in Washington is actualy listening to the people who sent them there. Maybe the out of control Government spending will actually be addressed instead of being swept under the carpet.
Without reining in spending the fiscal demands would force the Fed to monetize further and the USD would cease to exist. The World cannot function if the US does not contribute as the result would be, from a collapsed currency.
The USD remains grossly oversold based upon market expectations of Fed capitulation and forced monetization. But as we have seen, the world as we know it can change on a dime as some trigger event occurs,
Thus would not chase the dollar bears at this time. May miss a great move but such is life. Have reentered USD based pairs long, on a contrarian strategy looking for a real world trigger event. Perhaps we are there now with a US government shutdown leading to equity reversal.
Silly time is over in Washington and the last election put some fire breathing people into the US Congress. Business as usual is over. This is not a pissing match but a real difference in a living philosophy.
History of the US is replete with these kind of fundamental clashes which led to real change in time.