USD/JPY Discussion

Quoting realjumper

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I don't think it is neccessarily wrong to be buying at this point. It all depends on the trader and the size of his account and the lot size of the trade. For instance.....a longer term trader might buy here looking for a TP of 100.00. 1600 pips more or less is the goal. If the price drops to 80.00, then it is a 400 pip drawdown for a 1600 pip gain, long term. The long term trader, in all likelyhood will add to his long at (say) 83, 82, 81 etc etc. It all depends on the stragegy of the trader and the size of his account.

I agree that some retail...

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Quoting forexstrah

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Very well put. I think building a position is a great strategy for this pair...this is what is recommended in the market maker type strategy and can work out really well. I know most of the time you almost want it to go against you for a little bit to buy in more at an even "cheaper" price. Its impossible to pick the bottom.

Thanks for your post!

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Quoting Warwick

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What happens when 80+% of traders adopt this strategy?

Answer: Stop Hunting like you've never seen.

I can imagine there are a plethora of long positions open from the 88 mark.
83 just isn't enough pain, Ill start buying at 78-79.

Edit: Maybe even less, 73-76 cannot be ruled out.

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Quoting realjumper

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Of course it can't be ruled out, but 73-76 would be all time lows for this pair and would cripple Japan. Japan will not sit by and let that happen without a fight.

Also, I don't imagine that 80%+ traders use this type of strategy, so it's a moot point.

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Quoting kandarv

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Make no mistake, a lot of retail traders, like us, are buying the pair thinking exactly the same "can't go any lower BoJ won't let that happen..." I do think will have a trend reversal by the end of month, but I have to see it first. In the mean time I'm happy selling it.

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Quoting realjumper

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That's right, and those people who are thinking that it can't go any lower, are the ones with no strategy, which is what I said. It may well go to 80, but BOJ will not tolorate much below that because, as I said, it would cripple Japan

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Quoting kandarv

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Risk on, on good NFP report.

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Quoting kandarv

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Risk on, on good NFP report.

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Quoting bug

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More like a short squeeze than anything else, IMO.

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Quoting realjumper

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Yeah....bet they are breathing a sigh of relief in Japan!! Still...Non Manufacturing news to come, but if that's good too, next week should be interesting for the Yen. Not out of the woods yet!!

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Quoting kandarv

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Correct, I'm so tempted to short at this level, I hope my other me holds it.

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Quoting kruc

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is it possible for buy next week?

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Quoting kruc

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thx bro realjumper

i have planning for buy, if JPY above 86.xx

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Quoting realjumper

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No worries. IMO it's too dangerous to contemplate trading this at the moment. Wait for the news and see what that brings in about 40 minutes....but even then, I prefer to wait for it to settle down, and Friday trading can be a bit 'hit and miss' at the best of times. After all this news gets discussed by the talking heads over the weekend, we should have a much clearer picture next week.

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Quoting realjumper

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Yeah....bet they are breathing a sigh of relief in Japan!! Still...Non Manufacturing news to come, but if that's good too, next week should be interesting for the Yen. Not out of the woods yet!!

Edit: Of course if the Non Manufacturing news is bad, we'll be right back where we started....lol....

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Quoting realjumper

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...Friday trading can be a bit 'hit and miss' at the best of times....

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