29 Jan CAD JPY Technical Update For W/C 31st January 2012
My last trade on this pair was a short entry in a very high probability set-up that did begin to play out quite well but unfortunately price reversed with some gusto so I abandoned the trade.
Despite the recent strength I still have no interest in the long side but thought it worth bringing to attention the current situation that does merit keeping an eye on.
4 hourly chart shows price has retraced to an area of support. I wont buy this support, but rather looking to wait for it to become resistance if it doesn’t hold and then moving out to the Daily/Weekly time frames to evaluate the potential for another swing short entry:
Zooming in even further we get the possible impression that support on the 5 minute time frame has already been violated:
It will be interesting to see what the next few sessions bring.