USD/JPY plunges on Monday US time, speculation surrounds Bank of Japan intervention

Its going to be an interesting session in Asia and I’ll be on the edge of my seat until I hear Japanese officials say they have no comment on the sharp drop for USD/JPY overnight.

If you missed it you can check it out on the free ForexLive chart, here’s a 1 minute candle overview:

(This
chart is from our charting app, which is free and can
be found at this link
)

Narratives I have gathered include:

  • a USD 1.3bn option expiry at 10am NY time (Justin told y’all about this hours before) … and the time certainly fits
  • Bank of Japan intervention (I have seen zero credible confirmation of this)
  • stealth BOJ intervention (getting warmer given there is no credible confirmation)
  • 152.00 is a ‘big round number’ and sellers were gathered there …. m’eh, it tasks more than a few offers for USD/JPY to drop nearly a big figure in a few minutes

Comments welcome (until the Japanese Ministry of Finance weigh in with some useless remarks)!

This article was written by Eamonn Sheridan at www.forexlive.com. Source