USDJPY Carry Trade Update

Posted on Mo 30 Juli 2007 in Forex • 1 min read

  • Forex
  • Neural Nets tags:
  • USDJPY meta: _aioseop_keywords: Yen, Dollar, USDJPY, Carry Trade, Currencies, Forex, Investing, Pips ysc_entity_script: YAHOO.Shortcuts.annotationSet=YAHOO.Shortcuts.annotationSet||{};YAHOO.Shortcuts.annotationSet[\'lw_1201377280_0\']={\"text\":\"CRB index number\",\"weight\":2.595,\"type\":[\"shortcuts:/concept\"],\"category\":[\"CONCEPT\"]}; dsq_thread_id: '181041973' author:

USDJPY-073007Here’s a lovely revised graph of the USDJPY currency pair. I adjusted the prediction set to include the latest CRB index number and a S&P500 price of 1476.00. The curve seems to be growing a hump lately but its awfully close to be on the money.

Last time I checked the USDJPY was trading around 118.90 and for a 10 year bond yield of 5.00%, the curve predicts the pair should be trading at 119.14. I’m not overly concerned with the exact predicted value of the USDJPY pair as I am in seeing where the turning/inflection points are on the curves.