USD/JPY – 113.12
Most recent candlesticks pattern : N/A
Trend : Near term up
Tenkan-Sen level : 113.13
Kijun-Sen level : 113.37
Ichimoku cloud top : 113.90
Ichimoku cloud bottom : 113.84
Original strategy :
Sell at 114.20, Target: 113.20, Stop: 114.55
Position : –
Target : –
Stop : –
New strategy :
Sell at 113.80, Target: 112.80, Stop: 114.15
Position : –
Target : –
Stop : –
As the greenback has remained under pressure after dropping from 114.45 (last week’s high), adding credence to our view that top has been made there and consolidation with downside bias remains for this fall to bring retracement of recent upmove, hence further fall to 112.70-75 (61.8% Fibonacci retracement of 111.65-114.45) is likely, however, near term oversold condition should limit downside to 112.50 and reckon previous support at 112.30 would hold from here, bring rebound.
In view of this, we are looking to sell dollar on recovery but at a lower level as the lower Kumo (now at 113.84) should cap upside and bring another decline. Above 114.20-25 would abort and signal the retreat rom 114.45 has ended, bring retest of indicated strong resistance at 114.45-50 which is likely to hold on first testing.
