The majors are just not showing signs of continued dollar weakness after the rejection of key levels such as USD/JPY 120.70, EUR/USD 1.2900 ,and USD/CHF 1.2500. It appears that another test, if not a move through, is brewing beneath the surface. For tonight, let's look to play USD/JPY in a 4th wave pullback to wave 2 equality, as well as wave a and b equality to the 119.85 area. Look to get long 119.94 and 119.84 with stops below 119.60 for a re-test, and possible move through the 120.70 high. We were stopped out of USD/CHF today, so you should be slightly up on the 2-trade series.

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

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