We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

Free Trading Guides
EUR/USD
Bullish
GBP/USD
Mixed
USD/JPY
Bearish
Gold
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Mixed
Bitcoin
Bearish
More View more
Forex Analysis:Buying USDJPY Dips, Trailing AUDUSD Stop

Forex Analysis:Buying USDJPY Dips, Trailing AUDUSD Stop

2012-11-21 17:00:00
David Rodriguez, Head of Business Development
Share:

The US Dollar (ticker: USDOLLAR) remains an attractive buy against the Australian Dollar and Japanese Yen, and I'll look to trade accordingly.

I wrote earlier this week in my forex strategy outlook report that I think thatthe US Dollar recovery is at risk amidst extremely low FX Market volatility. Yet the AUDUSD as respected its series of lower highs, and in fact has broken to fresh week-to-date lows from earlier in the session. I sold AUD at the $1.04 mark with a stop above $1.0480, but I will trail my stop to week-to-date highs at $1.0425.

I remain in a small USDJPY long position--I took profits on the bulk of the position about 100 pips ago and was looking to buy dips. I would still like to buy dips, but the USDJPY is showing that it may not necessarily be willing to pull back in any material way. I'm willing to buy further if we hit the 81.50 mark, and I'll likewise trail risk on the entire position below the 79.00 mark.

I'll keep my thoughts posted via the forex real time news feed.

--- Written by David Rodriguez, Quantitative Strategist for DailyFX.com To receive the Speculative Sentiment Index and other reports from this author via e-mail, sign up to David’s e-mail distribution list via this link.

Contact David via Twitter at http://www.twitter.com/DRodriguezFX

Facebook at http://www.Facebook.com/DRodriguezFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES

News & Analysis at your fingertips.