NEWS / Foreign Exchange

The Yen will resume moving sideways to being soft against high yielders

The market is getting a little wilder.

What is happening is the scenario we envisaged of the eventual capitulation of the Yen, as in this will be a period of Yen recovery against the USD predominantly, but it will generate some temporary strength across all Yen crosses and volatility in the USD legs of other currencies.

The overall trends will remain the same and resume, it is just a bit of a challenge to know how far the corrections will go before resuming their respective trends.

The major dominant trend will now be broad based US dollar weakness following another day or two of choppy markets.

The Yen will resume moving sideways to being soft against high yielders, but not to the extent previously seen.

The high yielders will recover from a sharp sell off to continue climbing against the US dollar.

Key supports to keep an eye on which would indicate a more serious US dollar bounce are EUR 1.3550, GBP 1.9995, AUD .8305.

Dips in AUD and NZD should be bought, but it may be worth watching to see how far the panic selling can take them first. Favour AUD .8305 will hold.

Currency Trading

TACTICAL Points are for April

EUR/USD 1.3590 +307 pts
Long 2 units 1.3349, Profit stop loss 1.3541
Long 2 units 1.3399, Profit stop loss 1.3561
Long 2 units 1.3459, Profit stop loss 1.3561
Long 2 units 1.3589, stopped 1.3561
Buy 2 units on stop 1.3629, stop loss 1.3581
Sell 2 units on stop 1.3511, stop loss 1.3559

GBP/USD 2.0055 +719 pt
Long 2 units 1.9699, Profit stop loss 2.0011
Long 2 units 1.9739, Took Profit 2.0031
Long 2 units 1.9899, Took Profit 2.0041
Sell 2 units on stop 1.9921, stop loss 1.9979

USD/YEN 118.10 +37 pts
Buy 2 units on stop 119.99, stop loss 119.51
Short 2 units 119.21, Profit stop loss 119.09

EUR/YEN 160.30 +216 pts
Buy 2 units on stop 161.79, stop loss 161.11
Short 2 units 160.81, stopped 161.29
Sell 2 units on stop 159.91, stop loss 160.49

EUR/GBP .6780 -35 pts
Buy 2 units on stop .6829, stop loss .6801
Sell 2 units on stop .6731, stop loss .6789

GBP/YEN 236.45 +321 pts
Long 2 units 237.29, stopped 237.51
Short 2 units 236.71, stop loss 237.39

AUD/USD .8330 +368 pts
Long 2 units .8229, Took Profit .8321
Long 2 units .8249, Took Profit .8321
Long 2 units .8269, Took Profit .8331
Long 2 units .8359, stopped .8341
Buy 2 units on stop .8369, stop loss .8321
Buy 2 units on stop .8389, stop loss .8351
Sell 2 units on stop .8271, stop loss .8319

NZD/USD .7420 +684 pts
Long 2 units .7209, Took Profit .7421
Long 2 units .7229, Took Profit .7431
Long 2 units .7299, Took Profit .7441
Buy 2 units on stop .7459, stop loss .7401
Sell 2 units on stop .7331, stop loss .7369

AUD/YEN 99.35 +314 pts
Buy 2 units on stop 99.69, stop loss 99.01
Short 2 units 98.71, stopped 99.29

1 unit = 50% of Initial Account Size
e.g. for a $100,000 account,
1 unit = $50,000 position
2 units = $100,000 position

STRATEGIC

EUR 1.3590
Bullish at 1.3369, Profit S/L 1.3501
Sell at 1.3431, S/L 1.3489

GBP 2.0055
Bullish at 1.9739, Profit S/L 1.9921
Sell at 1.9441, S/L 1.9499

YEN 118.10
Buy at 120.29, S/L 119.51
Bearish at 118.71, S/L 119.19

EUR/YEN 160.30
Bullish at 156.99
Took Profit at 160.81
Bearish at 160.31, S/L 160.99

AUD .8330
Bullish at .8229, Profit S/L .8301
Sell at .8261, S/L .8299

NZD .7420
Bullish at .7179
Took Profit at .7401
Buy at .7479, S/L .7401
Sell at .7351, S/L .7399

CHF 1.2040
Buy at 1.2269, S/L 1.2221
Bearish at 1.2181, Profit S/L 1.2139

CAD 1.1295
Buy at 1.1639, S/L 1.1581
Bearish at 1.1531, Profit S/L 1.1369