Is USD/JPY Becoming Untradable Because of Government Intervention?

[benwhitecole]

Last week we saw something we haven't seen in years: coordinated intervention to support the yen.

That completely changed the tone of the market.

Normally I'd feel comfortable trading technical levels on USD/JPY, but now every move comes with the risk of another headline or another intervention.

Do you still treat USD/JPY like a normal technical market?

Or has it become one of those pairs where fundamentals and government action matter more than the chart?

 

[Enivid]

For me, fundamentals and government action always mattered more than the chart. However, I wouldn't consider USD/JPY untradable due to the recent interventions. I think they offer good opportunities.

 

[benwhitecole]

For me, fundamentals and government action always mattered more than the chart. However, I wouldn't consider USD/JPY untradable due to the recent interventions. I think they offer good opportunities.

fair point, ill admit i was leaning too hard on "untradable" when what i actually meant was more like riskier to trade the same way i used to. appreciate the perspective
if you dont mind me asking, does your approach actually change day to day when a pair's in intervention territory like this, tighter stops, smaller size, or just paying more attention to different levels than usual

 

[Enivid]

fair point, ill admit i was leaning too hard on "untradable" when what i actually meant was more like riskier to trade the same way i used to. appreciate the perspective
if you dont mind me asking, does your approach actually change day to day when a pair's in intervention territory like this, tighter stops, smaller size, or just paying more attention to different levels than usual

Not tighter stops, but lower risk per position definitely.