Post Content Post navigation Even as the Yen strengthened and profitability of the carry trade decreased, it didn’t end. In our analysis for clients, we said that the carry trade will continue. The differential between Japanese rates and US/EU rates will remain large. That was the key point. (4/9) Our trading strategy relies on capitalizing on polarized sentiment. In the long run, it never pays to follow the herd when trading. One sign of this was a drop in the daily RSI from 70+ to <30 in under 1 month. The last time this happened was at the April 2024 bottom. (2/9)