Get 40% Off
👀 👁 🧿 All eyes on Biogen, up +4,56% after posting earnings. Our AI picked it in March 2024.
Which stocks will surge next?
Unlock AI-picked Stocks

U.S.D-Yen Breakout: Good For Nikkei?

Published 05/26/2015, 10:24 AM
Updated 07/09/2023, 06:31 AM

U.S. Dollar/Yen Ratio

The chart above takes a look at the U.S. Dollar/Yen ratio over the past few decades. Monthly resistance line (1) has been in play for the past 18 years. As the month of May is nearly over, the USD/JPY is making an attempt to break above this long-term resistance line.

It is frequently said that yen weakness can be a positive for the Nikkei 225 index. Below looks at the Nikkei monthly over the past 30 years.

The Nikkei

This chart reflects that the Nikkei is working on a break above its 38% Fibonacci resistance level, which is tied to its highs in 1989 and the lows during the financial crisis back in 2009.

The Nikkei has, over the past 6 months, been one of the better-performing stock markets in the world.

A breakout in the US$/Yen and the Nikkei increase the odds that the current trends in play will continue.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.