As I noted yesterday, even after the selling we have seen in equities this week the “X-factor” for further weakness could easily be a resurgent Japanese Yen.
Recall that the Yen typically moves inversely to global risk assets, namely equities, due to actual or perceived correlations to the “Yen Carry Trade.”
After massive buy volume yesterday, the Yen ETF, below, is pushing higher as we speak today.
While that is happening, equities are struggling to hold even a modest upside bounce.
If the Yen gathers more steam, I expect the Russell 2000 Index to lose major support at 1,082.
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We do love it. Brought me good luck on Tuesday when I had it for lunch. Thx for the insight with the Yen.
Yep
Added to WEAT.
Nice
RUT is FUT’d
Weekly close is going to be huge.