Wednesday, February 17, 2010

Japanese Yen - Sell Signal

Above is a daily chart of the Japanese Yen and in the lower panel is the MACD indicator. You'll notice today the MACD issued a sell signal at the same time price has broken its short term uptrend (red line). Many of the MACD crossings over the past few months on the above chart have been reliable.

When you look at the price action over the past few months, it appears the Japanese Yen is putting in a lower swing high. If I am right about this lower high, we should see the Yen make a lower low. My downside objective for the Japanese Yen is the 103 area.


frank said...

Kevin- looks like a head and shoulders break-down below 106.

Lots of sites think we have one more run up with the market to 1200 and THEN the correction comes. Any opinions?

Kevin said...

It does look like a head and shoulders top. I don't think the Yen will make a move higher, I am bearish.

Anonymous said...


love your work and thanks for taking the time to do the updates, i am short the FXY at slightly lower levels, what is a good stop point?

Mike said...


Can you give us an updated on the USD? Thanks.


Kevin said...

I would place my protective stop right above the high from this month which is not far away from current levels.

Anonymous said...

Kevin have you any further thoughts on the YEN? does your analysis of 17 FEB still apply now (Mar 3rd) given that the yen has been rising? by the way if you are commenting could you give dates if possible if you have a chance, thanks (blogger doesn't seem to date comments)

Eric said...

Again, guys follow the leverage money flows when trading the Yen. Short position have been and should continue to be pressed for some time.

Anonymous said...

Eric - could you explain how to follow the leverage money flows? I'm not clear how you would determine them - thanks


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