USD/JPY Up, As Markets Monitor the Situation in Ukraine
USD/JPY – H4
Russian President Putin recognized two separatist territories in East Ukraine yesterday [1] and as per Interfax, the Russian military will perform "peacekeeping functions" [2].
Ukrainian President Zelensky believes that a broad escalation on the part of Russia will not happen [3].
Western powers condemned the Russian move and are already planning sanctions. EU Commission President Ms von der Leyen twitted that "A first package of sanctions will be formally tabled today" [4] and the UK government published a set of measures .
The Japanese Yen declines today as markets try to brush off yesterday's risk aversion, but the situation remains tense, which could limit the pair's the upside. USD/JPY returns above its EMA200 and this gives it the opportunity to push for mid-115.00s, but January's multi-year highs are distant (116.35).
Despite today's perky mood, the greenback is vulnerable to a retest of the lower border of the daily Ichimoku Cloud (at around 114.40-50). The cloud had lent support over the previous days as we expected and fresh catalyst will likely be required for bigger decline towards and 114.14.
Nikos Tzabouras
Senior Financial Editorial Writer
Nikos Tzabouras is a graduate of the Department of International & European Economic Studies at the Athens University of Economics and Business. With extensive experience in market analysis and a strong foundation in international relations, he brings a unique perspective to financial markets. Nikos emphasizes not only technical analysis but also on fundamentals and the growing influence of geopolitics on financial trends.
As a Senior Financial Editorial Writer, he delivers comprehensive and forward-looking insights across a wide range of asset classes, including equities, commodities, and currencies. His work explores how macroeconomic events, political developments, and global policies impact market dynamics, providing readers with a deeper understanding of both short-term movements and long-term trends.
References
| Retrieved 22 Feb 2022 http://en.kremlin.ru/events/president/news/67829 | |
| Retrieved 22 Feb 2022 https://interfax.com/newsroom/top-stories/73940/ | |
| Retrieved 22 Feb 2022 https://www.president.gov.ua/en/news/ukrayina-rozglyane-pitannya-rozrivu-diplomatichnih-vidnosin-73057 | |
| Retrieved 22 Feb 2022 https://twitter.com/vonderleyen/status/1496095277811388416 |
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