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TFC Commodity Trading Forum

Re: Euro/Testing Important Support/Trout *PIC*

I agree. That is the most likely scenario as it does look like a major reversal. I expect DX to blow through 82 as well but could take some time to do it. I've been watching the Yen and see it is at long term support at 105 on the Yen ETF:FXY. The currency adjusted Japanese stock market ETF:DXJ trades inverse to the Yen. See it spinning its wheels at this two year double top at $41.22. Note the weak lower technicals with this double top especially the RSI 21. Technically the Yen ETF could bounce back to 111 and this DXJ could pullback to the 37.22 breakout point. Only a breakout over resistance would suggest a further rally in DXJ and further selloff in the Yen. A pullback in both these is more likely. But "IF" this Yen change is a major reversal in policy like it appears to be we could see a repeat of the Japanese stock market soaring like in the late 80's. But regardless it does look like Japan has just changed the rules of the game with the currencies and the XXXX should hit the fan all over the place......................... I think the big winner will be DX with the currency wars likely right in front of us.