For those of you who are short a full USD/JPY position from last night's entry of 115.72, you can bring your stops down to just above 115.80 to pull most of the risk off the table. For those of you, including myself, who took profits on the push down to 115.30-40 are working with a cushion and can look to re-establish short positions at current levels of 115.45-50 on a half position, and the other half position at 115.60. Stops go above the highs at 115.80.

We are leaning against a big measured move AB=CD into March support, now turned resistance, at 115.50-116.00.

The hourly chart shows both last night's short entry at the 1.272 Fib extension of 115.70, as well as tonight's short entry against the former channel support turned resistance at 115.50-60. As mentioned, stops should go above the highs at 115.80. Partial profits can be booked when your current unrealized profit is equal to the dollar value of risk placed on the stop loss at the time the trade was opened. In other words, if you are up 30 points on the trade, and your original stop loss was 30 points away from your entry, look to close either a third or half of your position and trail the stop lower on the remaining position to lessen risk.

Todd Gordon is a Technical Currency Strategist and Fund Trader with GAIN Capital Group.

Disclaimer
The information and opinions in this report are for general information use only and are not intended as an offer or solicitation with respect to the purchase or sale of any currency. All opinions and information contained in this report are subject to change without notice. This report has been prepared without regard to the specific investment objectives, financial situation and needs of any particular recipient. While the information contained herein was obtained from sources believed to be reliable, author does not guarantee its accuracy or completeness, nor does author assume any liability for any direct, indirect or consequential loss that may result from the reliance by any person upon any such information or opinions.