USD/JPY – 111.54
Most recent candlesticks pattern : N/A
Trend : Near term down
Tenkan-Sen level : 111.98
Kijun-Sen level : 112.49
Ichimoku cloud top : 113.52
Ichimoku cloud bottom : 113.52
New strategy :
Sell at 112.50, Target: 111.30, Stop: 112.85
Position : –
Target : –
Stop : –
As the decline from 114.37 has accelerated on dollar’s broad-based weakness, suggesting early rise from 108.13 has ended at 114.37 and downside bias is seen for the selloff from 114.37 to extend weakness to 111.20-25 (50% Fibonacci retracement of 108.13-114.37), then towards 110.87 support, however, reckon previous resistance at 110.60 would limit downside and 110.50 (61.8% Fibonacci retracement) would hold from here due to near term oversold condition.
In view of this, would not chase this fall here and would be prudent to sell dollar on recovery as 112.40-50 should limit upside and bring another decline. Above 112.80-85 would defer and risk rebound to 113.00 but previous support at 113.12 should turn into resistance and limit dollar’s upside, bring another selloff later.
