SaxoTV
Faraday: Buying opportunity in USDJPY
331 views
Faraday Research analyst Thomas Light is tracking what he believes is a buying opportunity in USDJPY after the safe haven yen weakened following the ECB statement last week.
"If we take a look at USDJPY’s daily candle chart you'll see that the market respected the all-important August lows at 116.00 and buyers stepped in to drive prices higher, snapping USDJPY’s descending trend line.
This sharp burst of bullish momentum signals a change in the dynamics of the market and puts us on guard for a potential buying opportunity." explains Thomas and he adds that he's looking for a retracement back down into the broken level of resistance in order to join this short term uptrend.
Limit order to buy at 118.43
Stop:117.75
Limit order to take profits around 1.5 X risk at 119.45.