【Feature Spotlight Target Currency Pairs】Future of USD/JPY – The King Currency Pair for Japanese Investors as Volatility Continues to Decline! Year-end Possesses a Presidential Election Ahead – [Yasushi Yamanaka]

Yasushi Yamanaka Profile

Director at Ascendant. Joined Bank of America in 1982, became Vice President in 1989, and Proprietary Manager in 1993. In 1999, Deputy Director of the Foreign Exchange Funds Department at Nikko City Trust Bank. Founded Ascendant in 2002.

Twitter：https://twitter.com/yasujiy

Mr. Yamanaka views the current USD/JPY like this!

◦Trends of USD/JPY

Looking at recent years, USD/JPY has given the impression of a currency pair that doesn’t move much, but if you let your guard down it could move temporarily and rapidly. In February there was a temporary move to weaker yen and higher stock prices, but from late February to March it moved to stronger yen and lower stock prices. Be wary of an extreme yen appreciation due to a flash crash. However, this year seems likely to feature developments where past movements are not much of a guide.

◦What is an effective technical method?

In the current market, simple trendlines and horizontal lines work. Also, displaying the 20-week moving average on the weekly chart and checking whether the price breaks above or below for two consecutive weeks makes it easier to identify medium- to long-term trends.