USD/JPY – 114.27
New strategy :
Buy at 113.75, Target: 114.75, Stop: 113.40
Position :Â –
Target :Â –
Stop : –
As the greenback has continued moving higher after staging a strong rebound from 112.96 in part due to active cross-selling in yen, suggesting the retreat from 114.45 has ended at 112.96 and a retest of 114.45-50 strong resistance would be seen, however, break there is needed to retain bullishness and confirm early upmove has resumed for headway to 114.75-80 and later towards 115.00 but near term overbought condition should limit upside.
In view of this, we are looking to buy dollar on pullback as the upper Kumo (now at 113.71) should limit downside and bring another rise later. Below 113.35-40 would abort and suggest an intra-day top is formed, bring weakness to 113.20, then towards said support at 112.96 which is likely to hold from here.
