Today is a lesson in not keeping stops too tight.
Dip buyers are gobbling up dollars but they took their sweet time today.
USD/JPY fell one pip below the earlier session low of 104.70 only to completely turn around and rally back up to 105.07. It didn’t help that Citi was out with a note warning traders of the potential for a sharp drop in USD/JPY down to 103.50/60 on a close below 104.76.
It was the same story in the S&P 500 as it fell a tick below last Thursday’s low and then sprang 12 points higher.
Seeing someone stopped out by a pip
