First idea publish. USD/JPY Ranging in support and resistance.
First published idea here guys so any feed back or additional analysis on this trade is very welcome!
USD/JPY has been ranging in the 144.535 to 107.362 boundaries. It has now come to the bottom of this range with the stochastic's in the over sold area with near enough three support hits previously, this is a strong support. Retail trader data shows 76.5% of traders are net-long with the ratio of traders long to short at 3.26 to 1. I've been reading articles which are saying there is still bearish momentum but sticking to this idea, "USD/JPY remains under pressure even as Federal Reserve officials endorse a hawkish outlook for monetary policy, and the dollar-yen exchange rate stands at risk for further losses as the bearish momentum appears to be gathering pace". If support is broken then i am anticipating a sharp sell off, so would be going short there on after if this unfolds.
My stop is placed 106.843 and take profit at previous high at 110.496.
USD/JPY has been ranging in the 144.535 to 107.362 boundaries. It has now come to the bottom of this range with the stochastic's in the over sold area with near enough three support hits previously, this is a strong support. Retail trader data shows 76.5% of traders are net-long with the ratio of traders long to short at 3.26 to 1. I've been reading articles which are saying there is still bearish momentum but sticking to this idea, "USD/JPY remains under pressure even as Federal Reserve officials endorse a hawkish outlook for monetary policy, and the dollar-yen exchange rate stands at risk for further losses as the bearish momentum appears to be gathering pace". If support is broken then i am anticipating a sharp sell off, so would be going short there on after if this unfolds.
My stop is placed 106.843 and take profit at previous high at 110.496.