Analyst picks for: 2009/01/21
Full Article
The yen is on the cusp of a significant bullish breakout against many of its most liquid counterparts simply waiting for a trigger that could drive a market-wide rally. With GBPJPY having already plunged to its lowest level on record, the pressure is beginning to build. However, will the other crosses destined to follow suit or is the sterling going to level out? Our DailyFX Analysts take measure of the yen's future and which cross is best positioned for the ultimate move.
Senior Currency Strategist Jamie Saettele
This is risky trade, as are many opportunities in the current environment. The EURJPY is approaching the October low at 113.59 but short term structure suggests that a sizeable rally is expected prior to a break of that level. The structure that I speak of is the 5 wave drop from 131.08. As is always the case following a 5 wave move, a 3 wave move is expected in the opposite direction. In this case, Fibonacci resistance begins at 121.07 and structural resistance does not begin until 122.21.
Open trades:
Long USDCHF: exit
Short USDJPY: exit
Long EURUSD: move risk to 1.2840 on a rally above 1.3020
Currency Analyst David Rodriguez
Exactly one week ago I went short the GBP/USD on a break below noteworthy support, and needless to say the trade has done well. I have seen no real signs of potential reversal, and as such I'd like to remain in the trade. That said, there's no need to risk all of my profits on a reversal. I'd like to place max risk above the psychologically significant 1.4000 mark. A break above said level would tell me that price is likely to consolidate and correct through the near term, but my overall bias remains bearish the GBP/USD.
Other Analyst Picks:
Full Article
The yen is on the cusp of a significant bullish breakout against many of its most liquid counterparts simply waiting for a trigger that could drive a market-wide rally. With GBPJPY having already plunged to its lowest level on record, the pressure is beginning to build. However, will the other crosses destined to follow suit or is the sterling going to level out? Our DailyFX Analysts take measure of the yen's future and which cross is best positioned for the ultimate move.
Senior Currency Strategist Jamie Saettele
My picks: Long EURJPY at market, against 115, target at 121
Expertise: Technical
Average Time Frame of Trades: 1 month
Expertise: Technical
Average Time Frame of Trades: 1 month
This is risky trade, as are many opportunities in the current environment. The EURJPY is approaching the October low at 113.59 but short term structure suggests that a sizeable rally is expected prior to a break of that level. The structure that I speak of is the 5 wave drop from 131.08. As is always the case following a 5 wave move, a 3 wave move is expected in the opposite direction. In this case, Fibonacci resistance begins at 121.07 and structural resistance does not begin until 122.21.
Open trades:
Long USDCHF: exit
Short USDJPY: exit
Long EURUSD: move risk to 1.2840 on a rally above 1.3020
Currency Analyst David Rodriguez
My picks: Stay short the GBP/USD, tighten risk
Expertise: System Trading
Average Time Frame of Trades: 2-10 weeks
Expertise: System Trading
Average Time Frame of Trades: 2-10 weeks
Exactly one week ago I went short the GBP/USD on a break below noteworthy support, and needless to say the trade has done well. I have seen no real signs of potential reversal, and as such I'd like to remain in the trade. That said, there's no need to risk all of my profits on a reversal. I'd like to place max risk above the psychologically significant 1.4000 mark. A break above said level would tell me that price is likely to consolidate and correct through the near term, but my overall bias remains bearish the GBP/USD.
Other Analyst Picks:
- Chief Strategist Antonio Sousa: Short AUD/JPY
- Currency Analyst Ilya Spivak: Remain Short USDJPY
- Currency Analyst John Rivera: Short USDJPY
- Currency Analyst David Song: Short USDJPY