Trade Idea Wrap-up: USD/JPY – Buy at 112.10

USD/JPY – 112.75

Most recent candlesticks pattern   : N/A

Trend                      : Near term up

Tenkan-Sen level              : 112.60

Kijun-Sen level                  : 112.73

Ichimoku cloud top             : 112.57

Ichimoku cloud bottom      : 112.24

Original strategy  :

Buy at 112.10, Target: 113.30, Stop: 111.75

Position :  –

Target :  –

Stop : –

New strategy  :

Buy at 112.10, Target: 113.30, Stop: 111.75

Position :  –

Target :  –

Stop : –

As the greenback retreated after rising to 113.09 yesterday, suggesting consolidation below this level would be seen and pullback to 112.10-20 cannot be ruled out, however, reckon downside would be limited to 111.80-85 and bring another rise later, above said resistance at 113.09 would extend recent rise to resistance at 113.33 but loss of upward momentum should prevent sharp move beyond 113.60-70.

In view of this, we are still looking to buy dollar on pullback as 112.00-10 should limit downside and bring another rise. 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.