The demand for the USD has regained some momentum in the currency markets. One of my mantra's is to go with the trend. Price has moved and remained above the 100 MA on the daily chart. USDJPY and other like yen pairs are all bullish overall, as the yen continues to be weak as a result of supply. The USD is the mover and shaker today.
There is no way I am entering a buy at these levels. I am waiting for a retracement to minor levels of support to place bids. Levels I'm looking at are my usual "yellow lines", I choose to simply draw them in. Traders can also use any good support and resistance indicator (or Fib levels will work just as well) to confirm trading levels, when drawn on the completion of current upward swing. The ADX is oversold on the 15 minute time frame for quite a while now. This means some profit taking should take place soon. I expect over the course of the day or maybe into the Asian session, price should fall back to test minor support levels such as, 113.70-75, 113.50, or even better, 113.40.
On entering of buys my take profit levels will be 114.10, 114.20 and 114.50 respectively. Happy trading!
There is no way I am entering a buy at these levels. I am waiting for a retracement to minor levels of support to place bids. Levels I'm looking at are my usual "yellow lines", I choose to simply draw them in. Traders can also use any good support and resistance indicator (or Fib levels will work just as well) to confirm trading levels, when drawn on the completion of current upward swing. The ADX is oversold on the 15 minute time frame for quite a while now. This means some profit taking should take place soon. I expect over the course of the day or maybe into the Asian session, price should fall back to test minor support levels such as, 113.70-75, 113.50, or even better, 113.40.
On entering of buys my take profit levels will be 114.10, 114.20 and 114.50 respectively. Happy trading!