Trade Idea Update: USD/JPY – Buy at 112.80

USD/JPY – 113.30

Original strategy  :

Buy at 112.80, Target: 113.80, Stop: 112.45

Position :  –

Target :  –

Stop : –

New strategy  :

Buy at 112.80, Target: 113.80, Stop: 112.45

Position :  –

Target :  –

Stop : –

Although the greenback retreated to as low as 112.30 yesterday, dollar found renewed buying interest there and has rallied again, suggesting the rise from 111.65 is still in progress, hence bullishness remains for this move to extend further gain to 113.44 resistance, break of this recent high would provide confirmation and encourage for headway to 113.75-80 but reckon 114.00-10 would hold from here due to oversold condition. 

In view of this, we are looking to buy dollar again on pullback as 112.81 (current level of the Kijun-Sen and upper Kumo) should limit downside. Below the lower Kumo (now at 112.56) would defer and risk test of said support at 112.30 but break there is needed to signal top is formed instead, bring test of indicated strong support area at 112.03-13.