USD/JPY Weekly Special Report based on 1.00 Lot Calculation:
GEOPOLITICS: US PRESIDENT- ELECT DONALD TRUMP TAKES OFFICE ON JANUARY 20, 2025
- TRADE WAR: The potential implementation of future tariffs by Trump, coupled with uncertainty regarding geopolitical issues such as Greenland's strategic interest and trade relations with Canada, could contribute to the strengthening of the US dollar. Tariffs may reduce the trade deficit and boost demand for the dollar as trade flows shift toward domestic production. Additionally, geopolitical tensions often enhance the dollar's appeal as a safe-haven currency.
EVENTS:
- FRIDAY, JANUARY 24 AT 04:00 GMT: BANK OF JAPAN (BOJ) INTEREST RATE DECISION. On July 31, the Bank of Japan raised interest rates from 0.1% to 0.25%, marking the highest level in 15 years. Rising inflationary pressure in Japan increases the likelihood of a rate hike in January or March, but some investors believe the Bank of Japan might wait until April to confirm strong wage growth. Additionally, the recent widening of the yield gap between US and Japanese government bonds, fueled by hawkish expectations for the Federal Reserve, negatively impacts the strength of the yen. At the same time, the growing perception that the Fed might pause its rate reduction cycle by the end of this month keeps the US dollar at its highest levels in the past two years, providing support for the USD/JPY pair.
- WEDNESDAY, JANUARY 29 AT 19:00 GMT: FED INTEREST RATE DECISION. According to the CME FedWatch tool, there is a 97.3% probability that interest rates will remain unchanged, with the first rate cut expected no earlier than June. Meeting minutes from the Federal Reserve's last session revealed concerns about inflation and the potential impact of President-elect Donald Trump’s policies on inflation. The Federal Reserve is expected to keep interest rates unchanged at 4.5%.
USDJPY, JANUARY 17, 2025
Current Price: 155.50
|
USD/JPY |
Weekly |
|
Trend direction |
|
|
163.00 |
|
|
160.00 |
|
|
158.60 |
|
|
152.50 |
|
|
152.00 |
|
|
151.50 |
Example of calculation based on weekly trend direction for 1.00 Lot1
|
USD/JPY |
||||||
|
Pivot Points |
||||||
|
Profit or loss in $ |
4,820.93 |
2,892.56 |
1,992.65 |
-1,928.37 |
-2,249.77 |
-2,571.16 |
|
Profit or loss in €² |
4,682.90 |
2,809.74 |
1,935.60 |
-1,873.16 |
-2,185.35 |
-2,497.55 |
|
Profit or loss in £² |
3,955.58 |
2,373.35 |
1,634.97 |
-1,582.23 |
-1,845.94 |
-2,109.64 |
|
Profit or loss in C$² |
6,946.06 |
4,167.64 |
2,871.04 |
-2,778.42 |
-3,241.50 |
-3,704.57 |
1. 1.00 lot is equivalent of 100.000 units
2. Calculations for exchange rate used as of 09:55 (GMT) 17/01/2025
There is a possibility to use Stop-Loss and Take-Profit.
- You may wish to consider closing your position in profit, even if it is lower than suggested one.
- Trailing stop technique could protect the profit.