USD/JPY – 112.90
Most recent candlesticks pattern : N/A
Trend : Near term up
Tenkan-Sen level : 112.87
Kijun-Sen level : 112.24
Ichimoku cloud top : 112.36
Ichimoku cloud bottom : 112.04
Original strategy :
Bought at 112.00, stopped at 111.65
Position : – Long at 112.00
Target : –
Stop : – 111.65
New strategy :
Buy at 112.30, Target: 113.30, Stop: 111.95
Position : –
Target : –
Stop : –
Although the greenback retreated sharply on Friday to as low as 111.41, renewed buying interest emerged and the pair has rallied from there on dollar’s broad-based strength, reviving our bullishness for the rise from 110.84 low to extend gain to previous support at 113.09, however, near term overbought condition should limit upside to resistance at 113.33 and reckon 113.60-70 would hold on first testing.
In view of this, we are still looking to buy dollar on pullback as the Kijun-Sen (now at 112.24) should limit downside. Below 111.80 would defer and risk weakness to 111.60 but only break of said support at 111.37-41 would abort and signal top is formed instead.
