What a Macro FX Trading Week we have ahead of us!

A lot is going on in the markets and even more are to come. We encourage you to check out our macro calendar to get a good overview over this weeks events, which includes FED, BoE and RBA rate decisions, Non-Farm Payrolls, loads of PMI data, new US construction data and more.

Seemingly not on to many macro traders radar for now this week is the Yen. It is being traded but mainly due to positioning for another, perhaps the last jumbo hike from the FED. We find it interesting that USDYPY is moving into territory where the BoJ intervened last. We think monitoring the currency cross now when it is getting near 149 or going long USDJPY put options makes sense. As this is being written USDJPY is being traded at 148.7.

Besides to look for differences between consensus and decisions/data and trade on that this week the market will be looking for J. Powell being slightly less hawkish after the rate decision as that could indicate what we view as the pivot, meaning rate hikes and QT will be more moderate from here on. Gold and Silver might be worth monitoring in that case.

Trade carefully.