 Jump over to our man Teddy cakes that from Forex dash trading dash on lock.com We talked to Teddy every Wednesday at 40 past the hour. We've been talking some Forex. We've been talking some crude oil We've been talking some Japanese yen and I got a chart of that yen up here to kick things off Teddy. Good morning Good morning Tommy. I think the yen is exactly where we should start right. I listen It's you've made some outstanding calls lately man. The yen is one of them Let's do it man I got a chart up and it's almost a one-way trip outside of that one reversal we got With the central bank over there But yes, we let's start it off. I got it up here in a daily basis Teddy What are you looking out of this yet now that we hit one twenty nine thirty nine this morning, man? Well, you hit the key when you just said central bank. So Yesterday and this is breaking news across many news different sources The Japanese times and the financial times were the ones that really first started it was that there's a divergence in What's going on with the Japanese financial system? So the Bank of Japan came out yesterday and said that they are going to buy unlimited Bonds to keep the rate at a quarter percent in Japan Okay, so that totally goes against what we said member two weeks ago when we said that they're gonna defend their currency You know, you don't you don't defend your currency by buying your bond market You do the opposite you sell sure sell your bond market, okay? So now the finance minutes minister for Japan is totally in the opposite thought like now They've obviously been in a low-interest rate curve for a long time. They've been in there the longest, okay? However, when it comes to defending your currency, which is something that they think they definitely need to do You don't buy bonds. You don't try and produce rates, you know You drive you gotta go on the opposite especially when the whole rest of the world is increasing rates I mean no one's talking about cutting rates let alone supporting their bond market every every central bank is cutting back on their purchases You know so so that's a very key thing that happened yesterday because remember we had the 130 price target I sure do man. We were coming we almost hit it yesterday, okay? And then this news came out now today if you look at the end we spiked a little bit higher Okay, and now it's what I see right now is a little bit of a profit-taking mode because you have the euro is up The pound is up the Aussie's up So if all these other baskets occur the major currencies are up the dollar is under pressure And you got to remember the bond market did make a lower move low today, but not now They're a little bit higher on the day, you know, so it's just a little profit-taking move You know as far as that that momentum is concerned at least that's the way I'm viewing it right now Now as far as the price target that line in the sand now is completely I I have to say it's off the table because there's no way that you're gonna be able to defend your currency and also Hold just trying to hold up your bond market at the same time. It's just it's it's it's a tug of war that you can't go anywhere with So that's why I think the yen is still gonna be a bull And if the one of the reason I really truly believe that as member two weeks ago when they first talked about defending their currency That was the first correction they've had in a while and it's the only one they've had in the last month Okay, and that was it that was a three-day slide and it came back pretty fast because remember when we talked two weeks ago I said hey, I'm like, you know, I thought that they were they were taking a little bit too much profit taking off of that high And that's when I looked into it and saw how the central bank made that comment about defending their currency So we had a three-day slide there because of that now We have this divergence between the head of the finance ministry and also the Bank of Japan Going in two different directions on what they want to do. So that means that that would happen two weeks ago You're not gonna get that kind of correction. So I think the pullback you have today is a short-term little profit taking break but with oil up and Especially if the interest rates start to hit the lows again, which I do believe they will, you know Then I think you're gonna see our 130 price target now I would say that you might see the US dollar again at 140, especially if you see the Treasury bonds get down to like 125 You know something like that And could you talk a little bit about Teddy because I was a little bit surprised so two weeks ago You let us know the fundamental reason for that pullback Which was them talking about that they're gonna kind of set that upper limit that they wanted right and was it 130 130 what was 130 was the number. Yeah, 130 was the number. They explicitly said 130 Okay, so you let us know that some great information that explains some of the pullback. I got it up here We see it's it's almost the only three red bars on this chart man going back to March 7th I think we actually have two other red bars prior to the one today Then you come on last week and you're a bull Which I was surprised with considering that you would think right you would think that your your your profits are capped Right, you're in a trade potentially where you're bullish at 124 125 wherever we are and The central bank over there is saying you're capped at 130 Can you walk us through a little bit because I mean great call when we are right now? And I know you did it last week but for some of the listeners that might not have caught it What was the transition that allowed you to maybe turn into a bull even with The central bank talking about trying to keep it below 130 and you'd be buying it at 125 Can you talk a little bit about that because from where we are right now is outstanding call and even the fundamental aspect has changed But I thought that was so cool, especially from what happened over the last, you know seven days Well, I think one of the biggest things that helped me become a bull against the end again Was because at the same token while the dollar was very strong against the euro the pound and the Aussie They were slowing so the euro was the one that was under the most pressure But the Aussie now is in it actually it's not just in a correction. It's in a bullish trend now You know every break has been a it's been a higher move low and we started to bounce with those two markets last week You know on certain points That's where I could see that I would look at the pound yen and the and the Aussie yen and I started trying got long I've been long those now for two weeks as well You know because those trends are so solid that the yen is not just a bearer when it comes to the US dollar It's a bear with every other currency out there So that means that as long as the dollar is still strong against the Aussie and it's strong against the pound and it's strong against the euro And especially because the euro right now is off its low So any upside move it has now is just a correction the dollar is very strong So as long as the dollar is strong against those currencies and those currencies are strong against the end You got to be a bull. How is the how is the how is the yen going to become a bear against the US dollar especially now because Like I said with remember how I was adamant about how when it hits 130 it's going to be like a nuclear bomb They're going to hit that to pull that trigger right away But now with the Bank of Japan going for it. They just reversed it completely reversed their stance last yesterday You know, it's great information man. Okay. I appreciate you sharing it with all the listeners out there We had a question Teddy earlier Anticipating you were coming on the program from one of our guys in the in the Dan Dan talking about the Canadian dollar Can we talk a little bit about the Canadian dollar because that's got some movement going on today as well? Yeah, that is I tell you what that's become a choppy mess over the last two weeks In fact, I was streaming but I just got back from vacation last night I did a nice and I talked about the US dollar Canada where I was like this one is totally a side scratcher You know like because geopolitically it's it's it's a mess between especially the US and Canada And that's I even on a financial aspect too when it comes to our economy and a whole bunch of just it's just a complete zoo You know now another thing that is weird as the commodity issue is because you would think that with especially oil being strong and some other Commodities being strong that the Canadian dollar be getting strength, but I think that because Of the slope of the way their economy is going and there's there's a big issue now as far as their debt level for their government and stuff Like that that you never really heard this before COVID-19 messed up the Canadian economy in many many ways, and I think it's gonna be a bear US dollar Canada is gonna be a long-term bear right now Yeah, we're gonna have to start extending this to two segments if we get this type of action going on in the forex market Teddy Listen, thank you so much for the conversation the education as always man, and we'll talk to you next Wednesday Teddy Thank you. Take care. Thank you. Take care folk. We'll be right back for the final part of the program folks