- EUR/JPY chart does not look bullish despite stock rally (good GS results)
- Tough resistance around 135
- EUR/JPY down = Risk Aversion
- Other Risk FX have similar charts ie not really bullish
- eg GBP/USD indicating Risk Aversion also
- Price action has characteristics of top forming
- Chart is bullish CAD = Risk Taking?
- Conflict resolved if USD/CAD bear due to specific relative US vs Canada fundamentals, not overall market beta
- Lastly S&P500. Same look as the other risk currencies.
- Can't make strong case for bull.
- Easier to see bear case.
Conclusion : CAD is a special case. Overall stance Risk Aversion.
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