Trade Idea Wrap-up: USD/JPY – Buy at 113.15

USD/JPY – 113.75

Most recent candlesticks pattern   : N/A

Trend                      : Near term up

Tenkan-Sen level              : 113.85

Kijun-Sen level                  : 113.92

Ichimoku cloud top             : 113.94

Ichimoku cloud bottom      : 113.36

Original strategy  :

Buy at 113.40, Target: 114.45, Stop: 113.05

Position :  –

Target :  –

Stop : –

New strategy  :

Buy at 113.15, Target: 114.25, Stop: 112.80

Position :  –

Target :  –

Stop : –

As the greenback has retreated after marginal rise to 114.37, suggesting minor consolidation below this level would be seen and pullback to the lower Kumo (now at 113.36) is likely, however, still reckon previous resistance at 113.05 (now support) would contain downside and bring another rise later to 114.50-55 (100% projection of 108.13-111.78 measuring from 110.87) but overbought condition should limit upside to 114.75-80 and price should falter below 115.00.

In view of this, would not chase this rise here and would be prudent to buy dollar on pullback as 113.15-20 should contain downside. A firm break below previous resistance at 112.99-05 would defer and suggest top is formed, bring correction of recent upmove to 112.65-70 but reckon support at 112.39 would remain intact.