USDJPY 12-13-06

12-13-06

USDJPY

There were no trades in the USDJPY yesterday. The USDJPY never sold down to the 1.1645 area to allow a long entry. The USDJPY traded in a range below the area of supply at 1.1720 all day and looks to be ready to move higher to the next area of supply at 1.1740. If the USDJPY does manage to rally up to the 1.1740 area, I would buy a pullback to 1.1705 for a long trade, but I will hold off for a short trade until the USDJPY trades up to the 1.1780 area of supply. You can short that 1.1740 area if you want the first time that the USDJPY trades up to it as long as you exit at 1.1705 which will be a fresh breakout support area.