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Are currencies the Dogs and most other assets the tail and the dog wags the tail? Much of the time this has been true. I bring this up due to the potential important price points, the Yen and Euro find themselves at right now.
The Yen finds itself testing a 15-year support line and the Euro is testing a 7-year resistance line. From a sentiment perspective, investors bullish the Yen stand at 41% and Eurodollar bulls stand at 74%.
Currency movements over the past 6 months have been a tad boring. Are currency movements about to pick up from a volatility perspective and influence a variety of risk assets in the near future? They sure could due to these patterns!
Lets see if support and resistance holds and reversals take place or if the Yen breaks support and the Euro breaks out…Ripple effects from these next big moves here will take place!!!