Ichimoku Kinko Hyo CNH/JPY: The CNH/JPY pair is trading above the Kumo…
The VIX index rose to the highest level since early December
Information is not investment advice
Ichimoku Kinko Hyo
EUR/JPY: The EUR/JPY pair is now testing the lower level of the Kumo. A failed attempt to move higher will push prices into the previous support and even lower. On the other hand, a successful attempt to enter the cloud will indicate further bullish implications.
The VIX index rose to the highest level since early December as risk sentiment took a turn for the worse on Monday, while oil prices retreated to USD 86 a barrel.
A mix of reasons like valuation- macro and earnings scared European markets that corrected by -5% lower, US markets however staged a significant rebound. S&P 500 recovered a -4% correction in the opening hours, to close higher by 0.3%. Investors bought the dip in growth, but most sectors were higher in risk on sentiment. Consumer discretionary and industrials led the market and defensives lagged. Small caps outperformed massively, Dow Jones closed up by 0.3% and NASDAQ 0.6%. Asian markets have not joined the rebound as they are down 1-2% and US futures back in red this morning mostly led by tech names.
Last year was tough for the Japanese yen. USDJPY gained more than 30% over 2022, striking above 150 in October. While anticipation of slower Fed rate hikes pulled the pair below the 130 level at the start of 2023, the speculations over the destiny of BOJ’s yield control policy grabbed the attention of the Japanese assets in the middle of January. What lies ahead for traders of the Japanese yen?
Today, at 5:00 pm (GMT +2), the Bank of Canada will publish the Overnight Rate, which represents short-term interest rates, and is pivotal to the overall pricing of the Canadian Dollar in the global markets. Let's look at how the markets are faring ahead of the BoC rates release.
In a call scheduled for January 25, 00:30 am GMT+2, Microsoft will publish the company's earnings for the final quarter of 2022 and comment on the results, projections, and outlook for the nearest future of the company.