#1 option: Head&Shoulders triggered and in play. Target for shorts at 165 in next couple of months.
Stop is weekly close above 185.00
#2 option: Head&Shoulders triggered and in play but will fail? If patterns fails the move afterwards will be huge. Best moves come from failed moves.
Not much can stop USD/CAD bull stampedo until oil shows some strenght or dollar weakens.
FED is the key to watch next week. We are sure it will be interesting to see whether oil is able to test double bottom from 2009 and what market reaction is after FED finally starts raising rates.
We will be watching USDCAD ...
Need to wait for PPI news to see price action and if it holds above it is a long with good R:R ratio.
If USD news is above expectations avoid buying AUD versus USD.
Stop should be put to breakeven once trade is 25 pips in the money. No need to give money back on Friday. ;)
Have a great weekend everyone!
Slightly better US data immediately caused $USDJPY to start climbing and after clear BREAK of daily resistance mean it's a long or sideways. Not shorting it!
When we get a clear sell signal (pressure of sellers) we should consider start closing the position.
This trade can make 300 pips if trend continues.