Welcome to a brand-spankin’ new buying and selling month!
Main yen pairs could also be falling like there’s no tomorrow however that simply means extra alternatives for USD/JPY and CAD/JPY merchants.
What do you consider these setups?
CAD/JPY had a really sturdy second half of September, climbing by greater than 300 pips till the bears at 88.30 mentioned “Ait, that’s sufficient.”
The pair appears to be like able to hit the 87.00 psychological deal with, which isn’t too removed from the 38.2% Fib retracement of the final upswing, the 100 and 200 SMAs, and the descending channel resistance that CAD/JPY had not too long ago damaged.
Will we see a bounce at 87.00? CAD/JPY has a couple of extra pips to go earlier than reaching the extent so y’all have time to design buying and selling plans round a doable break and retest play.
If the Loonie bounces from the 87.00 zone, then we might see CAD/JPY retest its September highs and possibly even go to the massive 90.00 inflection level.
If CAD/JPY goes again all the way down to its downtrend, although, you then additionally gotta be able to commerce a revisit of September and even August’s lows.
Countertrend merchants collect ’spherical!
USD/JPY had been printing sturdy inexperienced candles the entire week till it popped up a bearish engulfing sample nearly proper on the 112.00 psychological stage. Yikes!
Bears who’re anticipating a reversal or a minimum of a deep retracement can take consolation in Stochastic’s overbought sign.
Y’all can scale in at present ranges and brief the greenback till it hits potential assist ranges close to 110.70 or 110.00.
Not feelin’ like promoting the greenback? You’ll be able to wait till USD/JPY begins printing bullish candlesticks once more and commerce the uptrend till the greenback revisits its September highs.