JPY Crosses: Time to try the other side
The short GBP/JPY trade didn’t go anywhere so I’ve jumped ship and changed sides and am now looking at long trades in NZD/USD and NZD/JPY.
My main reasoning is the latest IMM data and general information from the hedge fund space, namely that the world and it’s mother is short Kiwi. The great risk-off event hasn’t materialised and we may now start to see an unwind as we head towards Christmas. Not sure about timing and as we well know, the algos can keep us tied in tight ranges for indefinite periods but I am small long and looking for opportunities to add to both positions if momentum starts to build.