Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.

The vast majority of retail client accounts lose money when trading CFDs.

You should consider whether you can afford to take the high risk of losing your money.

Important Notice - Fraud awareness
Important Notice - Scam alert
The vast majority of retail client accounts lose money when trading CFDs.
Important Notice - Fraud awareness
Important Notice - Scam alert
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. The vast majority of retail client accounts lose money when trading CFDs. You should consider whether you can afford to take the high risk of losing your money.
Important Notice - Fraud awareness
Important Notice - Scam alert
The vast majority of retail investor accounts lose money when trading CFDs / Spread betting with this provider.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. The vast majority of retail investor accounts lose money when trading CFDs / Spread betting with this provider. You should consider whether you understand how CFDs / Spread betting work and whether you can afford to take the high risk of losing your money.
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AUDJPY Technical Forecast with BOJ Intervention

The AUDJPY has data released this week, but traders should consider BOJ intervention plays.

The Japanese central bank has intervened in the USDJPY, but to no avail, and may come back again.

AUDJPY – Daily Chart

audjpy daily chart-Oct-19-2022-04-29-31-48-AM

The AUDJPY has continued a recent rally and trades at 94.25, a move above the previous uptrend. That would need to hold for further Aussie dollar strength.

The Bank of Japan warned markets of the weakening Yen, but intervention attempts have not worked. We must consider whether they will return with a blockbuster move against the USD.

Tomorrow sees the release of Australian employment, and a 25k jobs gain is expected after last month’s 33.5k. The unemployment rate is likely to stay at its decades-low 3.5%.

The following day will see Japanese inflation, and a reading of 3% was seen last month, a far cry from the 0.1% seen almost a year ago. The BOJ has been pushing back any calls to tighten its ultra-accommodative stimulus. Still, inflation could force their hand if it continues higher.

In the meantime, JPY shorts should tread carefully if the BOJ wants to send a louder message to financial markets over the yen price. BOJ Governor Kuroda said it was “Extremely Important for FX to Move Stably Reflecting Economic Fundamentals.”

The weakening of the yen was “sharp and sided” and “not desirable for the economy.”

Last Updated: 19/10/2022

This market commentary and analysis has been prepared for ATFX by a third party for general information purposes only. Any view expressed does not constitute a personal recommendation or solicitation to buy or sell as it does not take into account your personal circumstances or objectives, and should therefore not be interpreted as financial, investment or other advice, or relied upon as such. You should therefore seek independent advice before making any investment decisions. This information has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication. Although we are not specifically constrained from dealing ahead of our recommendations we do not seek to take advantage of them before they are provided to our clients. We aim to establish and maintain and operate effective organisational and administrative arrangements with a view to taking all reasonable steps to prevent conflicts of interest from constituting or giving rise to a material risk of damage to the interests of our clients. The market data is derived from independent sources believed to be reliable, however we make no representation or warranty of its accuracy or completeness, and accept no responsibility for any consequence of its use by recipients. Reproduction of this information, in whole or in part, is not permitted.


 

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