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Central Banks Yen to Intervene- 9/23/22

This is a syndicated repost published with the permission of Stool Pigeons Wire at Capitalstool.com. To view original, click here. Opinions herein are not those of the Wall Street Examiner or Lee Adler. Reposting does not imply endorsement. The information presented is for educational or entertainment purposes and is not individual investment advice.

Well now, that did a lot, didn’t it.

Look, I’ve said it before and I’ll say it again. The Fed is the black hole at the center of the worldwide banking system. So long as it is withdrawing cash and the ECB and BoJ are either still adding or standing pat, their currencies will fall against the dollar. The reason is simple. There are constantly fewer dollars and the same or more yen and euros. So the dollar’s price will continue to rise in yen and euros. The idea that the BoJ can intervene and change that trend by selling USD and buying Yen is a pipedream.

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Meanwhile, the EUR/USD looks set to go over another cliff as it heads for a measured move target of 0.90, based on its big top breakdown.

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Here’s the very long term view on that.

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Meanwhile back at the US market, I would say that the ES 24 hour S&P futures are taking aim at the 5 day cycle projection of 3700. But that would be wrong.

Because they’re already there for all intents and purposes. But don’t forget that measured move target of 3660 or so. That’s still out there.

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Meanwhile, back at the big picture:

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