Dollar Strength

Good morning dynamic traders. Since our July 25th GBPJPY forex analysis this cross has made 200-300 pips worth of profit. It is now sitting on a trend line support and those traders in this position should manage the trade and scale out.


GBPJPY chart courtesy of Advanced GET. Data provided by eSignal.

The USDJPY in contrast has been climbing although the momentum in the upward move has been very minimal. This is as a result of the resistance level 108.60 which we have tagged today for the third time. USDJPY is now at a triple top formation and we are looking for a breakout or breakdown at this point.

MACD has presented us with a divergence and Stochastics is overbought. An OCO order is a good choice here for those unable to check often. Alternatively take the direction of the confluence of events with a well placed stop loss

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USDJPY chart courtesy of Advanced GET. Data provided by eSignal.

As expected by many analysts, the rate decision yesterday was unchanged. The Dollar made some gains yeaterday as the market is convincing itself a bottom is in place and commodity currencies are weakening. Fears of a US recession is increasing even though the USD has strengthened be it at a much reduced pace.


Dow Jones Advanced Get chart. Data supplied by ESignal.

The Euro Dollar is in the middle of a downtrend as supports are breached but still shows greater momentum to the upside. As previously mentioned, a break of 1.53 can change the outlook.

Todays pivot points are below.


Dynamic Trader pivot points produced by Dynamic Trader Toolkit.

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Good trading.

Forex Analyst
Javid Shaik