USD/JPY

USD/JPY weekly special report based On 1.00 Lot Calculation:

• EVENT: FEDERAL RESERVE raised interest rates as expected 0.25% points to 5.00% (Its highest since September, 2007). FED Chair Jerome Powell comments: We no longer state ongoing rate increases may be appropriate. The US dollar came under negative pressure after Powell’s comments as that opened the door for a pause in rate hikes, which makes the US dollar less attractive.
• US BANKING CRISIS: THE COLLAPSE OF SILICON VALLEY BANK. Increased fears that the other banks in the US are in the same position reduced expectations for FED interest rate hike. After the collapse of Silicon Valley Bank (and Silvergate Bank before), there is a risk of bank runs that could push the US economy into recession quickly. The ongoing banking crisis increased demand for the safe- haven Japanese yen.
• NEWS: JANET YELLEN COMMENTS, NO FULL INSURANCE FOR ALL DEPOSITS. Yellen testified before the Senate Appropriations Committee. Treasury Secretary Janet Yellen is not considering any plans to guarantee all bank deposits without congressional approval following the collapse of Silicon Valley Bank and Signature Bank. The amount of money banks borrowed from the Fed’s discount window set a new record in the week ending March 15, suggesting many banks are still worried they could face a rush of withdrawals.

USD/JPY, March 23, 2022
Current Price:131.00

Example of calculation base on weekly trend direction for 1.00 Lot¹

1. 1.00 lot is equivalent of 100,000 units
2. Calculations for exchange rate used as of 8:45 (GMT) 23/03/2023
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• You may wish to consider closing your position in profit, even if it is lower than suggested one
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