Trade Idea: USD/JPY — Buy At 90.80

USD/JPY – 91.77

Most recent candlesticks pattern : N/A

Trend : Near term up

Tenkan-Sen level : 91.35
Kijun-Sen level : 91.00
Ichimoku cloud top : 90.47
Ichimoku cloud bottom : 89.67

Original strategy

Buy at 90.55, Target: 91.90, Stop: 89.95

New Strategy

Buy at 90.80, Target: 92.30, Stop: 90.20

Dollar's firmness on the back of active cross-selling in Japanese yen suggests the upmove from 88.01 low remains in progress and bullishness is seen for further gain towards 92.30, however, near term overbought condition should limit upside to chart resistance at 92.55 and reckon 92.90 (50% Fibonacci retracement of 97.79 to 88.01) would hold from here, bring retreat later.

In view of the above analysis, we are still looking to buy dollar on pullback as the Ichimoku cloud top (now at 90.47) should hold. Only a break of support at 90.07 would signal top has been formed instead, then fall to the lower Kumo (now at 89.65) would follow.

Based on ActionForex.com Technical Outlook