First profit target hit

The USDYEN move has just hit the 115.50 minimum targetso we recomend banking some profits.

There are several reasons to take partial profits here. The current swing up is equal in length to the first, potential wave one and these 'measured moves' frequently stop or at laest pause when at equal distance.

There is also a 50% retracement area just above 115.50 and lastly, there is a good profit that would be very upsetting if the market corrected strongly from here.

The further ,price moves then the odds of a correction rise so there is always a balance to be struck between letting profits run and pragmatically accepting that the risk of a correction is increasing.

The USDJPY forms a base

Despite many commentators telling us the yen is about to strenghten the charts show a different story may be unfolding.

We are currently looking for a decive move above 114.50 for a minimum target for Wave three of 115.50. However a move below 114.00 negates the move for today.

The Jappy makes a move

The USDJPY pair is now looking interesting again.

The key to this move is rising above 116 this morning and for the move to be sustained towards the 118 target area. I don't want to see too much of a retreat below 116 or this could be just extended the current rading range.