Trade Idea : USD/JPY – Stand aside

USD/JPY – 111.81

Most recent candlesticks pattern   : N/A

Trend                      : Near term down

Tenkan-Sen level              : 111.90

Kijun-Sen level                  : 111.95

Ichimoku cloud top             : 111.97

Ichimoku cloud bottom      : 111.94

Original strategy  :

Exit long entered at 111.80,

Position :  – Long at 111.80

Target :  –

Stop : –

New strategy  :

Stand aside

Position :  –

Target :  –

Stop : –

Although the greenback fell marginally to 111.48, lack of follow through selling and the subsequent bounce suggest consolidation would be seen and above 112.05-10 would bring another corrective rebound towards resistance at 112.42 but break there is needed to signal a temporary low is possibly formed, bring retracement of recent decline to 112.70 and then test of resistance at 112.87.

In view of this, would be prudent to stand aside for now. Below said support at 111.48 would signal recent decline from 114.50 top has resumed and extend further weakness to 111.20-25, however, reckon 111.00 would hold from here due to near term oversold condition, bring rebound later.