USDJPY: 05/30/2017


The chart above presents my phasing analysis on the USDJPY currency pair. The structure is clear enough but far from crisp. I have reason to believe that the 54 month cycle low in terms of the USDJPY was realized late last year prior to the spike advance that was witnessed after the Trump election which was anticipated here on this blog. Evidence of a low of the 54 month duration is the break of the 54 month FLD to the upside. Speculators should feel comfortable with longing the JPY pairs from the current time juncture for several years to come. I did take a look at the possibility of hyperinflation in Japan in the near future. Hyperinflation is expected worldwide but that experienced in Japan will certainly be a sight to see. Considering my bearish view on the USD and my bullish view on the USDJPY I am almost certain that the JPY crosses are likely to be one of the best plays going forward. I have spoken about this many times before and to those who listened a significant unrealized gain would have been achieved in the recent months.


Charted above is the projection based on the 18 year cycle position of the USDJPY. It seems evident that we are on the verge of a significant advance going forward after which we will realize the correction of the 18 month cycle. It is of little importance if the projected advance is actually realized from a longer term perspective considering that we are looking at the second 54 month cycle to ensue of the first 9 year wave of the first 18 year wave of the current Kondratieff cycle. Such a cluster of rising cycles suggests that the peak of the current 9 year wave is likely to be realized in the second 54 month wave rather than the first which gives us reason to be significantly bullish going forward on the USDJPY currency pair and hence the JPY crosses.


Leave a Reply

Your email address will not be published. Required fields are marked *