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FX JP USDJPY
JPY Carry Unwind
When fear rises (VIX > 20) and US-Japan rate differentials narrow, the yen carry trade unwinds violently. This algo shorts USD/JPY to profit from yen strengthening during risk-off periods. Tokyo traders watch this signal daily....
Win Rate
58%
40 markets resolved
Backtest Return
16.4%
2-year backtest
Benchmark
8.2%
USD/JPY Buy-and-Hold
Alpha vs Benchmark
+8.2%
2-year period
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Short USD/JPY when VIX > 20 and US-Japan rate spread narrows. Yen safe haven signal.
When fear rises (VIX > 20) and US-Japan rate differentials narrow, the yen carry trade unwinds violently. This algo shorts USD/JPY to profit from yen strengthening during risk-off periods. Tokyo traders watch this signal daily.
Asset USDJPY
Benchmark USD/JPY Buy-and-Hold
Data Source Bank of Japan/FRED
Resolution Every Friday 16:00 UTC
Protocol AEPP/1.0 · draft-agentir-aepp-02
carryJPYyenrisk-off