As the yen continues to be seen as a safe haven from the current uncertainty of equities, it continues to charge form and buying strength seems strong over the next 3-5 days. It’s been rumored that the strength of the yen may be primarily due to the unloading of yen-funded trades across a wide range of asset markets fueled by fears of the spread of COVID-19 and not Japan’s fundamental economic strength. Regardless, technical analytics are indicating strong buying power for the Japanese currency in the short-term. Long-term, however, remains uncertain as we watch to see how a lack of tourism and global economic activity may cause investors to continue to retreat into the yen, or rotate out of the markets altogether.  

Steve Sylas

Steve has been passionate about and following the financial markets for 10 years. He attended the University of Indianapolis where he studied financial economics and began following the markets more diligently on a daily basis. He began his career brokering freight and trading his personal account and developed a reputation in the retail trading community for solid rules-based trading and unique market perspective. He is now focused on bringing that perspective to clients at RJO Futures.