Pick of the Day: CAD/JPY – Trade Closed

Trade Closed: 2007-01-22 15:40:00

The Loonie unexpectedly sold off against the majors today. I can’t seem to find the reasoning for the sell off at the moment, but whatever the case may be our trade was stopped out for a small -40 pips. Again, price action earlier alerted us to the possibility of our position reversing, and we adjusted accordingly and limited our risk.

Total: -40 pips

With last week’s trade out of the way, we can now focus on this week’s upcoming events – most notably the US Durable Goods and Existing Home sales numbers at the end of the week.

Trade Update: 2007-01-22 11:48:00

Our position in CAD/JPY has been range bound throughout the day, even with oil ticking higher today. The price action is telling me we won’t see a breakout to the upside, so we will adjust our exist strategy and take a quick profit and slightly adjust our stop loss.

Adjust profit targets to pt1 at 103.60, pt2 at 103.85
Adjust stop to 103.20

Good luck and good trading!

Trade Update: 2007-01-22 08:30:00

We held the trade throughout the weekend as we hoped cold weather and a slowdown in oil refiner output would spark a rise in oil prices. Oil is ticking up higher at the moment, so we will hold onto our trade. Stay tuned as I may adjust our targets! Good luck and good trading!

Trade Idea: 2007-01-18 20:00:00

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Right now, I’m pretty much liking any major currency against the Yen especially after the Bank of Japan held rates at 0.25%, indicating concern over Japan’s economy. For tonight I’m looking at going long CAD against the Yen. With positive economic data out of Canada, such as record foreign demand for Canadian assets and stronger manufacturing data, I am looking for appreciation in CADJPY.

Ofcourse, we will let price action confirm our theory by waiting until the pair breaks above previous highs before entering. Here’s a long trade idea:

Long CAD/JPY at 103.60, stop at 103.14, pt1 at 103.80, pt2 at 104.00

Remember to never risk more that 1% of your account on any single trade, so please adjust your position sizes accordingly.

Oil is a concern for this trade, but I think we may see some help from cold weather and hopefully a pullback now that crude is trading near $50 a barrel.

Good luck, good trading and please stay tuned for more updates!

  • usbajonas

    Hi-Pick of the Day: My 200 SMA is sure different than yours. Is this mistake on my end? Thanks

  • usbajonas

    Hi-Pick of the Day: My 200 SMA is sure different than yours. Is this mistake on my end? Thanks

  • pinetree

    Are you able to post your week in reviews on a regular basis? It seems the last one posted was on Jan 5, 2007. It really helps to be able to review the weekly reviews — thank you for all your work.

  • pinetree

    Are you able to post your week in reviews on a regular basis? It seems the last one posted was on Jan 5, 2007. It really helps to be able to review the weekly reviews — thank you for all your work.

  • pipcrawler

    Greetings usbajonas…is your 200 sma on an hourly chart? regardless of whatever charting package you use it should look roughly the same. If you can, send me a screen shot of your chart to pipcrawler@babypips.com and i’ll take a look at it…

  • pipcrawler

    greetings pinetree…

    I just updated the pip count for the “Pick of the Day” … click here.
    Not looking good at the moment for January, but I’m confident we’ll come out on top…!

  • pipcrawler

    Greetings usbajonas…is your 200 sma on an hourly chart? regardless of whatever charting package you use it should look roughly the same. If you can, send me a screen shot of your chart to pipcrawler@babypips.com and i’ll take a look at it…

  • pipcrawler

    greetings pinetree…

    I just updated the pip count for the “Pick of the Day” … click here.
    Not looking good at the moment for January, but I’m confident we’ll come out on top…!