Correlation between USDJPY and the US stock market | 21 4月 2021

21 4月 2021, USD/JPY

Correlation between USDJPY and the US stock market

USDJPY trading plan:

“If progress towards our employment and inflation objectives slows, we will maintain a highly accommodative stance for longer,” Powell said. The Fed slashed its benchmark overnight interest rate to near zero last March after the coronavirus pandemic hit the United States, and has promised to leave borrowing costs unchanged until the economy reaches full employment, and inflation hits 2% and is on track to “moderately” exceed that level for some time. The central bank is also buying $120 billion in Treasuries and mortgage-backed securities each month to keep interest rates at a level that supports hiring and spending, and has promised to keep doing so until it sees “substantial further progress” toward full employment and the 2% flexible inflation target. This is a good signal for the stock market and USDJPY, which has a correlation with the shares.

Investment idea: buy 108.00 and take profit 108.50.

David Johnson
Analyst of «FreshForex» company
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