22 Jan 2014
Flash: JPY Bullish Percentage Index 60% bullish - FXStreet
FXstreet.com (Barcelona) - Goncalo Moreira, FXStreet Technical Analyst notes that the Yen Bullish Percentage Index has 60% of its components in a bullish mode, this means that the currency is trending up against a basket of more than 20 world currencies when measured in a Point and Figure chart.
Key Quotes
“In turn, Euro-based pairs have mostly been below the 50% mark since the start of the year.”
“The most recent trend change came with the 50% line crosses on the 17th January, when the EUR/JPY called to live a descending channel by rejecting the 142.80s. The pair is now dealing with this line, but it has to do it in a convincingly manner in order to get rid of the downside offensive.”
“The BPI oscillating above and below 50% without reaching the 70 or 30 levels, as is the case for the Euro is indicative of uncertainty about the prevailing trend. Things look but different for the quote currency which has revealed enough strength to abandon the 10% level and carry up through the central line.”
“A firmer JPY has been also reflected in recent speculative futures positioning (see theCoT Positioning report for more details).”
Key Quotes
“In turn, Euro-based pairs have mostly been below the 50% mark since the start of the year.”
“The most recent trend change came with the 50% line crosses on the 17th January, when the EUR/JPY called to live a descending channel by rejecting the 142.80s. The pair is now dealing with this line, but it has to do it in a convincingly manner in order to get rid of the downside offensive.”
“The BPI oscillating above and below 50% without reaching the 70 or 30 levels, as is the case for the Euro is indicative of uncertainty about the prevailing trend. Things look but different for the quote currency which has revealed enough strength to abandon the 10% level and carry up through the central line.”
“A firmer JPY has been also reflected in recent speculative futures positioning (see theCoT Positioning report for more details).”