Blake Morrow’s Chart of The Day – May 26th 2021
USDJPY
The USDJPY is looking vulnerable to a move lower as the pair is back below the 50dma and also probing a long term (2021) ascending trend line. The reason why we are watching this closely develop is that bonds look like they are regaining their footing, which may send yields lower near term. The USDJPY and XXXJPY have been fairly well correlated to yields recently, so a move lower there could allow for the USDJPY to revisit the 107.44 support near term which were the April lows.
Blake Morrow
