USD/JPY – 110.26
Original strategy :
Buy at 109.30, Target: 110.30, Stop: 108.95
Position : –
Target : –
Stop : –
New strategy :
Buy at 109.45, Target: 110.45, Stop: 109.10
Position : –
Target : –
Stop : –
As the greenback has maintained a firm undertone after this week’s rally, adding credence to our view that low has been formed at 107.32 last week and mild upside bias remains for the rise from there to extend further gain towards resistance at 110.49, however, near term overbought condition should limit upside to another previous resistance at 110.67 and price should falter below 111.00, risk from there has increased for a retreat to take place soon.
In view of this, would not chase this rise here and would be prudent to buy dollar on subsequent pullback as 109.25-30 should limit downside. Below 109.00 would defer and risk correction to 108.70 but still reckon downside would be limited to 108.30-35 and bring another rally later.
