It’s not the break of 114 that matters it’s the reaction to being knocked back that counts now.
The lack of follow through, and indeed he time it took after the data, was a strong enough signal to me to go short. I’m in at 113.92 and currently nursing it down. If the buyers are intent on pushing the envelope further today then they’ll need to make a swift response to the fall back to 113.69. As Mike would say, “it’s finely balanced” yet another failure to take 114 could well see some of the late joiners to today’s party start to take some money off the table.
Let’s see what happens.
USD/JPY M15 chart 03 11 2014
