Thread: Daily Trading Strategy Report: USD/JPY (150 Pips Profit)

Profit-taking (125 pips): Breach of 93.83 indicates a minor top formation

Written by www.imperialFXonline.com

Date & Time: May 6th 2010, 07:13GMT

Rate: 93.50
Strategy: Exit short
Position hold: Short at 94.75

Resistance level: 93.99 / 94.98 / 95.65 / 97.08 / 97.78
Support level: 93.28 / 92.82 / 91.60 / 91.09 / 89.75

• Minor top formation at 94.98
• Deeper retracement towards 92.82

Dollar's selloff after being capped below the option barrier at 95.00 points to a minor top formation at 94.98 and a mildly bearish bias prevails in the near term with potential for a moderate downward correction, the breach of 93.83 opens the way for to further losses towards the confluence at 92.82/89 (support and fibonacci level) but these supports are likely to hold due to the shorter term oversold oscillator readings and be followed by a rebound.

We have exited our current short position with a good amount of profit (125 pips) after the dollar found minor support around a retracement level at 93.29 and may look to sell again on recovery as only above 94.30/35 would suggest a possible end to the pullback and bring re-test of 94.98.

Written by www.imperialFXonline.com
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Pretty good pips. thanks for your report contribution. i will follow through.

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