I like the USDJPY because it is a lot more cleaner and lot of confluence.
The current retracement back to 118.382 - 118.4 is the level to short from, targeting 114.11. We could expect to see a push lower to possibly fill the gap at 112.315 as well.
BoJ monetary policy is due this week and not to forget the ECB drama. Given the circumstances, I expect Yen to act as a strong safe haven this week thanks to Europe.
Comments
justatrader
⋅
Trade should be exited
OzkOzn
⋅
hi, thanks for sharing;
i think, on 19 Jan. if price doesnt go upside, downside move target is 109.50 level, and this manages to hold as support level, great up move comes later.
justatrader
⋅
And that's where I see a lot of traders getting stuck on the short side.
This is my assumption: Monday should see a move down before a rally during US session. Momentum is expected to remain the same until BoJ is done with. After the leg up, which is sure to attract long positions, Yen should start strengthening as ECB approaches and therefore fall lower.
Its only my assumption. Price has the final say on this
jangseohee
⋅
you are into GAp filling also?
justatrader
⋅
No.. Not after the Swiss volatility. Keeping my greed in check :D
And also learned from last week's EURUSD that Gaps will fill when the markets want to, not when we expect them to. I'm sure many people will be looking to set their TP's near gaps. If I had institutional money, i'd push price just a few pips to the gap and turn into a big buyer, swallowing all the sellers ;)