30 Juli 2020, USD/JPY
USDJPY trading plan:
The bullish rally on the U.S. stock market will have a positive impact on the value of USDJPY. The Board of Governors of the Federal Reserve System voted unanimously to maintain the interest rate paid on required and excess reserve balances at 0.10 percent, effective July 30, 2020. Federal Open Market Committee voted to authorize and direct the Open Market Desk at the Federal Reserve Bank of New York Increase the System Open Market Account holdings of Treasury securities, agency mortgage-backed securities (MBS), and agency commercial mortgage-backed securities (CMBS) at least at the current pace to sustain smooth functioning of markets for these securities, thereby fostering effective transmission of monetary policy to broader financial conditions. This is a positive signal for the stock market!
Trading recommendation: Buy 105.00 and take profit 105.45.