Down goes the Yen

Good Morning Dynamic Traders

Hope you had a great weekend and made the most of weather.

I have decided to stick with the Yen this week, because of the couple of days I missed during the bank holiday weekend.

If you remember in my last update on Friday I said that price could be taking a breather, or it could be reversing. Unfortunately only time could tell, but there were some factors to gives and insight of what might be happening. I said on Friday that the day chart was showing the price dropping, and this is a classic case on the older brother telling the younger brother what to do.
The strength of the value index was clearly far too strong price and has really knocked price down. To be honest I am not surprised that price has dropped.

Your probably wondering how you might have made some profit from the down turn in price. This does depend on your trading strategy, but a good confluence of events to take into account if a similar setup arrives on your screens are the tram tracks on the 4 hour chart and the day chart!

Happy Trading

Richard Monnery