USD/JPY Trade Update on 24th September 2010 (6.22pm)
Trade closed when the price jumped up to reach for the upper boundaries of my 21ema purple channel. From experience, I know that prices after having breached the R3 pivot level, will tend to fall back below that level. As such, I have decided to take profits. I managed to bag 50 pips from this trade. I have decided to take profits and wait for the next signal that will tell me what to do next.
At the current moment, there are some bullish signs on the dollar yen pair. The signals include:
1. Green Parabolic SAR dots appearing
2. Divergence in the MACD histogram
3. Oversold reading in the Stochastic
However, if the price falls below 84.0, it should throw caution to us going long as the bears in the pair would have gained strength.
Singapore Forex Traders’ Blog
USD/JPY Trade on 23rd September 2010 12.40pm Singapore Time