Daily Observations: December 18, 2012
- Short AUDJPY from 88.83, Stop at 88.80, Target 1 at 87.60
- Long EURCHF from 1.2018, Stop at 1.1990, Target 1 at 1.2500, Target 2 at 1.2750
- Short EURJPY from 111.10, Stop at 111.10, Target 1 at 109.75, Target 2 at 108.60
- Short USDJPY from 84.15, Stop at 84.35, Target 1 at 83.50, Target 2 at 83.20
Recently Closed Positions:
- Exited Short AUDUSD (3/4) from 1.0582 at entry for 0.0-pips
- Exited Short EURUSD from 1.3103 at 1.3130 for -27-pips
- Closed Long USDJPY from 80.65 (1/2) at 84.15 for +350-pips
Time Frame: 1-day to 1-week
The Yen-crosses have rebounded just ahead of many of my initial targets, but with the BoJ decision still a few days away, there is still potential to see these crosses trade lower.
Bottom line: volatility is likely to be very high the next week or so, just on the basis that market conditions will be thin for the holidays. This is not an environment I prefer to trade in - these will be my last trades of the year, unless something absolutely substantial occurs.
--- Written by Christopher Vecchio, Currency Analyst
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