It’s ‘risk on’ again, baby !

Last week’s palaver about unwinding Yen trades is old news.

The Yen has nearly swung to the other side of the pendulum.

The study below shows the 13 moments over the past 15 years when the AUD/JPY was trading (coinciding with a couple other metrics) at a weekly RSI reading of 36 or below.

I say ‘nearly swung’, for we are close but not there yet……for another such occurrence.

When they do occur, they bode well for listed equities risk appetite.

The Nasdaq 100 index appears within my study as a comparison.

August 12, 2024

by Rob Zdravevski

rob@karriasset.com.au