U.S. Dollar Will Continue Moving Higher, Yen Lower, New Zealand May Soon Set Up

U.S. equity markets have rebounded from the October 15 lows and a contributing factor to that is the rising dollar and weakness in the Japanese economy and the yen. Kiana Danial, CEO of Invest Diva, tells TheStreet’s Jill Malandrino, Japan has two choices before there is any change to the trend: another stimulus package and tax rate increase resolution. Another economy Danial is watching is New Zealand, primarily due to technical patterns on the chart and positive commentary from the Prime Minister. Trades Danial is looking at include a U.S. dollar/Yen pair, or going long the USD and short the yen. While there may be an interim pop in the yen, she thinks there will be further longer-term weakness. Danial is looking for consolidation on the New Zealand trade for confirmation and then will look to initiate a position.