Events, which should be paid attention to today:
15.30 Moscow time. USA: Inflation for July.
USDJPY:
Today the market is waiting for an inflation release in the USA for July, where the consumer price index is expected. Against this background, the American stock market can demonstrate a small short -term growth of quotations, which is positive for this currency pair, since USDJPY historically correlates with the SP500 index. I will immediately make a reservation that I expect precisely a small growth of the stock market, Since now I see no reason for a fracture of the descending trend. The American economy is in a technical recession and this process can go into a full -scale crisis, since the United States was uneasy to live with an increase in the percentage rates of the Fed. Moreover, fresh data on labor productivity indicate a strong descending trend – performance is reduced, while wages are growing. This situation increases the cost of American products, which is detrimental to corporation income.
Trade recommendation: Buy 134.85/134.50 and Take Profit 135.35.