News of the day was probably the employment data from USA. Net loss of 533,000 jobs was way above the estimate of 335,000. This the steepest drop since 1974. Despite that, dollar got stronger against most currencies. Most, but not all- Yen was even stronger. It is not the end of trading day, so there may be some more developments. Closing on Friday often sees a counter move in last few hours.
JPY’s strength didn’t suit me, since I was looking to short it. First short term trades in GBP-JPY, for which I use 5M charts.
There was only one decent set up, which I entered at 135.88, only to be stopped out almost immediately, for a loss of 55 pips. As of this writing one more buying opportunity is emerging. I have an order at 134.95 with an objective of 135.95, or 100 pips. Whatever happens, I will want to be out of it before the close.
The cross I’ve been following most the week, AUD-JPY, didn’t produce a trade.
There wa no buying opportunity, that I could see, so I stayed on the sidelines. Looks like all JPY crosses are rebounding right now, but I’m not placing additional trades, except for the beast buy I mentioned early. I’m rather surprised by this continued Yen run, it is not like everything is rosy there. Evidently, these days it is not a question of who is in good or bad shape, as much as who is the least miserable. I will take a look at weekly charts of couple JPY pairs and try to make some sense of it over the weekend. My trading will still likely be focused on buying Yen crosses.
Mike K.
Yes, sir. Nice run. Well, that was worth waiting for. Did you get your 100 pips?
Yes, I did. It was a fast move, everything happened while i was working on the post. You seem excited, Michelle, I hope you had some decent results.
Yes, 95 pips in GBP-JPY and 80 in AUD-JPY. I like these breakouts more and more. Start to recognize them myself now, since yoy post so many examples. Thank you. Encore?
No, I’m done. You should do the same, don’t force trading. You’ve just had some great results, don’t ruin it by taking questionable trades on emotions. Have a great weekend!
You are right, better call it a day and week. Thank you.
Yen is playing bloody havock, no doubt. There is talk of intervention, but who knows? This is trading, though,
nothing is for sure.But you are still doing good. Great patience.
The intervention might happen, might not. One can not count on it. Besides, who say it will be successful. Back in 2003, I think, when BOJ defended 115.00 level, it took months of action and USD-JPY still slid to alnost 100. But if you are bearish JPY, as I lean towards, intervention would be helpful. Now we watch the charts.