- I have taken a small short position in USD/JPY at 92.30 with an initial stop/loss above this weeks 93.30 high. I expect to see some short-term oscillation in a 91.80/92.80 range before we (hopefully for my strategy at least) see a break onto a lower plane. My information is that the stops below 91.50 and particularly 91.00 are of the ‘capitulation’ variety, ie all longs are giving up the ghost at basically the same level. This could lead to a swift 300/400 pip move and that is what I’m looking for.
- I added to my long EUR/GBP position overnight around .8750 and I have raised the stop on the entire position to .8690. My information here is that the big hedge fund players are watching this one closely and are looking to play. A technical break above the .8835/45 area should see a large influx of fresh buying. This is the only pair I have picked well recently and I’m hoping to see levels above .90 in the next 10 days or so.
- I’ve still got a small short NZD/USD position, now over 200 pips out of the money. All advice is welcome. Please send it to “Don’t ever trade Kiwi or Cad again” , Stubborn Street, Sydney.