FxAnalysis

The US dollar jumped against the Japanese yen on Wednesday, as traders are looking to take advantage of the interest rate differential.

The US dollar looks as if it is trying to bounce a bit after a little bit of a drop on Wednesday as the dollar continues to chop back and forth against the Mexican peso. This is a great carry trade pair, which has plenty of momentum longer-term.

There has been a lot of buying pressure in the Asian indices, and the Nikkei 225 will not be any different. Ultimately, this is one of the better opportunities out there.

The gold market continues to see a lot of buyers on each dip.

The British pound has fallen on Wednesday, as we continue to see pressures on this currency.

A firmer US Dollar and a bearish breakdown suggest more downside, especially if the price remains below $1.1805 today.