CPI came in as expected at a 0.4% increase since June, but without food and energy came in 0.1% less than the expected increase of 0.2%. As we planned for last night, the dollar was sold and sold hard. Our 115.66 USD/JPY target that we have been shooting for since Tuesday was reached. Those of you who were short from Tuesday are taking home about 90 points, and new shorts from yesterday are taking home about 60 points.

The 115.50 level appears to heavily defended, so feel free to keep a small piece for the possible plunge after several efforts to breakthrough.

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

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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.