USD/JPY – 112.55
Original strategy :
Bought at 112.55, Target: 113.55, Stop: 112.20
Position :Â – Long at 112.55
Target :Â – 113.55
Stop : – 112.20
New strategy :
Hold long entered at 112.55, Target: 113.55, Stop: 112.20
Position :Â – Long at 112.55
Target :Â – 113.55
Stop : – 112.20
Although the greenback fell briefly to 112.26, the subsequent rebound suggests consolidation above this level would be seen and as long as 112.26 holds, mild upside bias is seen for gain to 113.00-05 is likely, above there would suggests low is possibly formed, bring a stronger rebound to 113.35-40 (38.2% Fibonacci retracement of 115.20-112.26), however, break of resistance at 113.54 is needed to provide confirmation, bring further subsequent gain to 113.70-75 (50% Fibonacci retracement).
In view of this, we are holding on to our long position entered at 112.55 but one must exit on such rebound. Below said support at 112.26 would risk one more fall to 112.10-15 (61.8% projection of 115.20-112.90 measuring from 113.54) but loss of downward momentum should prevent sharp fall below previous support at 111.69, risk remains for a rebound to take place later.
