#EURUSD Roadmap if the Plaza Accord Scenario is ConfirmedFed and NY Fed Actions on USD/JPY: Last week, reports emerged that the Federal Reserve Bank of New York conducted so-called "rate checks" on USD/JPY — technical consultations that often precede currency intervention. This was indeed interpreted by the market as a signal of readiness to support the yen, although no direct interventions have occurred yet — only the possibility of them.
Important: Despite the absence of direct interventions, the market reacted to the rumors: the dollar weakened against the yen, and the dollar index pulled back, as investors remember the power of coordinated actions similar to the Plaza Accord.
The news is generally credible, however, it's important to note that we're currently only discussing the possibility of intervention and talks about a new version of the Plaza Accord — not an actual agreement or joint operations. Real economic consequences will depend on whether practical actions follow the statements and "rate checks."
If the news is confirmed. Here's my new roadmap for the pair:
Weekly chart analysis. Identifying key historical levels.
Daily chart analysis. Determining impulse movement targets and projected correction levels.
Summary:
We've broken out of the accumulation zone on impulse from the news.
Nearest target: 1.22
Next target: 1.24 (possible sideways movement, partial profit-taking, position accumulation)
If intervention news is confirmed:
New target: 1.28
Correction (likely): 1.24
Final target: 1.30
Reversal.
And here's where it gets interesting.
Weak #USD = Strong #BTC
Long
