Making a small short on USDJPY after price has broken an important level. Most recent candles(on both 4H and 1H) shows reversal signs. Looking to limit the trade to 120.7 level - absolutely conservative
After yesterday didn't think could get much crazier, but who knows, today could be worse. This pair does a dead cat bounce? Perhaps when Greek midnight news is no deal, no acceptance of Greek proposal?
EURUSD AND USDJPY are related. And if Euro rises if Grexit results, dollar falls, Yen goes... and USDJPY goes ??? (up or down as a result - they will effect each other), down (Yen up) . And if China doesn't settle, flight to Yen gets stronger. IMO, best of fortunes.
I think this indirect effect you're mentioning here will be limited, but yes probably right. I might check a finance calendar though and see if there's major news I would want to exit before. And same to you.
BOE rate decision today, and then nothing until August mtg. They want parity with dollar, but thinking Euro will strengthen from events no matter what they do, and they may have to raise rates sooner than later.