EurUsd — regular climb regardless of the noise
Regardless of how messy issues get in Europe – from the French finances drama to the so-called “migration disaster” that’s not even a disaster anymore – the Euro simply retains flexing. Euro’s been grinding greater, and this month it’s eyeing that candy 1.20 degree once more. It’s not a wild transfer, nothing explosive, simply regular enterprise as regular in case you have a look at the previous 5 years. The market’s not chasing goals right here; it’s simply following the identical rhythm. Until one thing completely surprising hits earlier than yr’s finish, EurUsd appears prefer it’s received sufficient juice to check that resistance and possibly chill round it for a bit.
UsdJpy — shock politics, calm charts
So yeah, the shock lastly dropped this weekend — Japan simply elected its first feminine chief, Sanae Takaichi. Phrase on the road is she’ll maintain the “democratic” Abenomics playbook alive — print cash, push bonds, battle inflation with inflation. Sounds daring, however that additionally means no fee hike in October like folks had been betting on. Humorous factor, although: the chart already noticed it coming. UsdJpy’s been tightening up for months, volatility fading out just like the calm earlier than nothing. Don’t count on fireworks — this pair’s in all probability staying in that flat, sideways zone we’ve seen again in 2019–2020. Generally the largest shock is that the market doesn’t care.
