USD/JPY – 110.85
Original strategy :
Buy at 110.20, Target: 111.20, Stop: 109.85
Position : –
Target : –
Stop : –
New strategy :
Buy at 110.20, Target: 111.20, Stop: 109.85
Position : –
Target : –
Stop : –
As the greenback has risen again after brief pullback, adding credence to our bullish view that the rebound from 108.73 low is still in progress, hence gain to previous resistance at 111.05 cannot be ruled out, however, break there is needed to retain bullishness and extend this rise for a stronger correction of early decline to 111.25-30, having said that, near term overbought condition should prevent sharp move beyond previous resistance at 111.71, risk from there is seen for a retreat later.
In view of this, would not chase this rise here and would be prudent to buy dollar on pullback as 110.15-20 should limit downside. Only below previous resistance at 109.80 would abort and signal top is formed instead, bring weakness towards support at 109.42.
