Sunday, August 2, 2009

Stop Trading, against all odds, USD/JPY uptrend?

Back from vacation! Funny thing is, if I didn't watch my pair EUR/USD during it I would've thought nothing has happened with it. It's almost the same price as I left it last week. Like I put it on pause. But for the upcoming week I think it's time to look for another pair and put the EUR/USD on the back burner at the moment or until a more clear pattern emerges because now it's just trading in a side ways market where little money can be made. Upcoming trading week I'm going to shift focus, to the USD/JPY pair! Why? It's looking like this pair is on it's way down. A strong short term down trend has formed and therefor for the short term I see an excellent opportunity! Look what happened, like it was thrown off a cliff!

Now most analysts are bearish on this pair and suggesting that the short term pattern will continue, I don't see how. Call me stubborn :P I guess it depends on what chart you are looking at. I'm bullish on this pair.. look at the chart below.

This chart represents the USD/JPY and goes back a few months. The drop that you see in the first chart is the final steep drop above. It's looking like the pair is crawling back up, right?! Slowly though but fast enough to call it a short term 'turn-around' trade. I'm bullish on this pair. Click on the chart for my wonderful fibonacci analyis :P. By friday, I'll do an update on this one (94.74-94.79) T1@ 95.46.

Below are some CNBC shorts relating to the currency markets;

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