HomeTrade IdeasCandlesticks IntradayTrade Idea Update: USD/JPY - Sell at 111.20

Trade Idea Update: USD/JPY – Sell at 111.20

USD/JPY – 110.30

Original strategy  :

Sell at 111.20, Target: 110.20, Stop: 111.55

Position :  –

Target :  –

Stop : –

New strategy  :

Sell at 111.20, Target: 110.20, Stop: 111.55

Position :  –

Target :  –

Stop : –

The greenback recovered after falling to 110.11 and consolidation above this level would be seen and corrective bounce to 110.95-00 cannot be ruled out, however, reckon upside would be limited to 111.15-20 (38.2% Fibonacci retracement of 112.90-110.11) and price should falter well below resistance at 111.48, bring another decline later, below said support at 110.11 would signal recent decline is still in progress and may extend weakness to 109.95-00 but loss of downward momentum should prevent sharp fall below 109.70-75 and reckon 109.50 would hold.

In view of this, would not chase this fall here and would be prudent to sell dollar on recovery as 111.15-20 should limit upside. Above 111.48-51 (previous resistance and 50% Fibonacci retracement of 112.90-110.11) would abort and signal low is formed, bring a stronger rebound to 111.80-85 first (61.8% Fibonacci retracement).

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