2022-09-22

Yen Intervention Will Fail, But It Is a Signal

The Japanese government will not stop the fall in the yen. Organic market forces will end it. There's nothing to do except buy the dip in USDJPY until there's a large pullback, perhaps if stocks bottom in October. Maybe they'll intervene at 150 or 160, and then it reverses around 175 for this cycle. Maybe 150 or 160 is the peak for this cycle. Who knows. The fact that they're intervening though, tells us there's finally enough pain. The beginning has ended.

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