💹 +246,853 USD | USD/JPY & Gold Fully Conquered Amid Political Risk — Strategy Revealed (Oct 13 – Oct 17)
💹 +246,853 USD | USD/JPY & Gold Fully Conquered Amid Political Risk — Strategy Revealed (Oct 13 – Oct 17)
🏛 Japan Politics: Takaichi Administration Set to Take Office — “ Takaichi Trade ” Reignites
On the evening of the 18th, the LDP and Japan Innovation Party formally agreed to establish a coalition government.
Ishin will cooperate outside the cabinet (without ministerial posts); the agreement will be signed on Oct 20, and Sanae Takaichi is expected to be elected prime minister in the extraordinary Diet session on Oct 21.
Many of Ishin’s 12 key policy items — constitutional reform, foreign and security policy, energy strategy, abolition of corporate donations, and a 0% consumption tax — were accepted, boosting market expectations for “ policy execution strength → yen selling / equity buying resumption. ”
👉 Entering “Takaichi Trade — Phase II”
Focus on expansionary fiscal policy and renewed yen-weakening trades.
🌍 Global Events & Market Framework (This Week → Next Week)
| Date | Event | Market Focus |
|---|---|---|
| Oct 20 (Mon) | NZ CPI, China GDP / Retail / Industrial Production | Concerns over China’s growth falling below 5% |
| Oct 21 (Tue) | Prime-Minister Vote (Takaichi inauguration) / Canada CPI | Political stability → stronger yen selling pressure |
| Oct 22 (Wed) | UK CPI | Weak data → GBP selling / JPY buying dominant |
| Oct 23 (Thu) | BoJ Financial System Report / EU Confidence | Financial system risks / European sentiment |
| Oct 24 (Fri) | Japan CPI / US CPI (special release) / EU PMI flash | CPI surprise → direction setter for USD |
Gold (XAU/USD) broke above $4,250, driven by a weaker USD and lower yields.
Depending on the CPI print, it could challenge record territory around $4,400–$4,500.
💱 Major Currency Outlook (Week of Oct 20)
USD/JPY
Expected Range: ¥148.00 – ¥153.00
Takaichi administration → yen selling resumes, but ¥153–155 is the intervention alert zone.
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¥150.0 – 150.8: Buy-on-dip zone
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¥151.8 – 152.8: Partial profit-taking area
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Break above ¥153: Watch for stop-hunts
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Upper-¥148s: Defensive stops recommended
⚠ If policy execution lags, watch for reversal risk.
EUR/USD
Expected Range: 1.1400 – 1.1850 USD
Political stability after France’s no-confidence vote, but downgrade fears remain.
Likely range-bound near 1.17, depending on US CPI.
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1.176 – 1.185: Prefer selling on rallies
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1.145 – 1.150: Dip-buy zone
🧭 Summary & Strategy Notes
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Takaichi administration → yen selling + stock rally + gold strength = “Takaichi Trade” reignited
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High volatility expected as US CPI and intervention fears collide
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Gold remains the market leader — short-term traders should stay nimble within the swings
📜 Afterword | “ Good Sleep Is Also a Trading Skill ”
Thank you for reading this week’s FX Weekly Report.
The link between sleep and metabolism — often discussed in health and diet contexts — matters to traders too.
Studies show that sleeping less than 7 hours a night can lead to weight gain and reduced decision-making accuracy.
In other words, sleep affects not only your body but also your mental clarity and reaction speed.
💡 Why Sleep Matters for Trading
Sleep deprivation raises ghrelin (hunger hormone) and weakens the prefrontal cortex that controls rationality.
Translated to trading behavior, this means impulsive entries and emotional cut-losses.
Adequate sleep prevents “decision hunger” — it’s a form of risk management.
🔥 Both Body and Mind Reset During Sleep
Sleep not only restores metabolism but also releases the stress accumulated from the previous day’s trades and revives focus for the next session.
Many find that simply going to bed earlier helps them regain calm and avoid reflexive trading.
✅ Conclusion: Winning Traders Sleep Well
Sleep is part of the strategy.
As with diets and markets alike, steady discipline beats impatience.
Rest well, stay calm, and read the waves with clarity — that might just be the simplest way to take your trading to the next level next week.
So sleep well, and trade strong.


