USD/JPY – 113.33
Most recent candlesticks pattern : N/A
Trend : Near term down
Tenkan-Sen level : 113.21
Kijun-Sen level : 114.86
Ichimoku cloud top : 114.84
Ichimoku cloud bottom : 114.81
New strategy :
Sell at 114.00, Target: 113.00, Stop: 114.35
Position : –
Target : –
Stop : –
Although the greenback tumbled today and dropped below 113.00 level, lack of follow through selling and current rebound suggest consolidation above support at 112.90 would be seen and recovery to 113.55-60 cannot be ruled out, however, reckon 114.00-05 would limit upside and bring another decline later. A break of said support at 112.90 would extend the fall from 115.51 to 112.76-77, then towards 112.50 but reckon downside would be limited to 112.00-10, bring rebound later.
In view of this, we are looking to sell dollar on recovery as 114.00 should limit upside. Only above previous support at 114.48-52 would abort and signal low is formed instead, risk a stronger rebound to 114.89 resistance first, break there would signal the retreat from 115.51 has ended, then gain to 115.20 resistance would follow.
