Forex

im short now on usd/jpy at 97.30 .any idea to have profit

Time to short USD/JPY 98.30 good enough although it might short squeeze some more. Getting carried away with the DOW run.

My stop is at 99.86

That would be nice, although the market is oversold and setting up for a good rally, quite possibly to 13,000+. I still think it has lower to go before that happens, but this morning is not pleasant and could easily just keep drifting up to the Fed meeting. A close above 12,305 would be bullish.

But if the USD/JPY still holds correlation to the stock market, it would bearish because the USD/JPY is tracing out a clear correction and is poised to make a new low. However I can easily see the Fed cutting 100 bp and the USD/JPY plummeting while the stock market rallies. We'll see.

But wat about stock improvement

do you think the fed will still cut 100bp?if yes why?

The bottom line is that the market determines how much the interest rate cut will be, not the Fed. The Fed just looks at the bond market to see what the market is pricing in, and then they cut accordingly. Alan Greenspan admitted this on 60 Minutes, and others have basically confirmed it. TV and the media in general like to make it a big guessing game for ratings probably. But it's not that big of a mystery. Last I heard, there was 100% chance of 75 bp cut and a very high possibility of a 100 bp cut priced into the Fed Fund Futures?? so seeing as that the Fed doesn't care about the dollar and is doing absolute desperate measures to save the stock market and economy, I'd say 100 bp is very likely. This also contributes to the fact that the dollar looks poised to make new lows across the board against all the majors.

pls any idea on where to put the take profit on usd/jpy.Thanks man AT for your analysis im in the trade already waiting for usd/jpy to plumet