USDJPY: Intraday pivotal still finds between 111.80 it’s 50MA and 111.65 while overnight it has managed to hold the 50MA and close above. The price action lost both 14 and 20MAs, now 50MA in focus finds at 111.80/111.65. As of now this morning the price made a low at 112.00 and currently trading at 112.20.
Resistances seems to be at 112.50 and 112.80. Above these could rally towards 113.20 and 113.50. Any shift in sentiment could change the short-term trend to a minor rally to 112.80 and 113.20 levels.
We would look to capitalize on these developments by using moves to 113.20-113.50 as a selling opportunity, with a take profit for half the position at 112.00 and the balance at 110.50. Place a stop loss above 114.00 to limit the risk.
It is important to always keep in mind the risks involved in trading with leveraged instruments.
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