Well with all of my talk about bonds lately, I bet you people are wondering about my long Yen, short USD trade. No?
Well here are the current results anyway:
| Recommendation | Vehicle | Next Open | Last Close | Result |
| Long Yen | FXY | $ 109.02 | $ 106.62 | -2.20% |
| Short Dollar | UDN | $ 26.01 | $ 25.19 | 3.15% |
And here is the chart update:
The yen has shown recent weakness, but it approaches its 50 day moving average which may provide support. I do not like the lower peak in volume that accompanies the higher peak in price. This was apparent shortly after the trade was put on, but only with a little time can we see the negativity of the sign (ok, some of you might have seen it at the time, but I’m not that good). The ratio is also approaching the break out level from right after the trade began.
The take away from this trade would have been to close it out after the lower volume high. That would have been a very profitable short term trade. That is part of the nature of trading, however. My thesis to enter the trade should not be the same criteria I use to exit the trade.
We will see what the next few trading sessions bring. The uptrend in the FXY does appear to have been broken.
Disclosure – still holding my long Yen position.
Link to this pageRelated posts:
- Dollar in trouble, but not as much as the Yen How about a tour through the major currencies? It’s not...
- Yen and US Dollar … etf vs forex ...
- Bear Market rally update ...
Related posts brought to you by Yet Another Related Posts Plugin.
