Good Day,

Welcome to the 4 new subscribers from the weekend.

<span style="text-decoration: underline;"><strong>OVERVIEW:</strong></span>

My blog's main article from  Saturday was focussed on the USD/JPY. Today sitting in front of my computer the first two currencies that I looked at were the USD/JPY and EUR/USD.  The EUR/USD cannot at the time of writing get above 1.3725 and the USD/JPY continues to strengthen and it is now below 101.40 flirting just above 101.00.

The U.S. futures are beginning to rally back from negative towards positive but the USD/JPY is not rallying.

The AUD and NZD are not really moving.

<span style="text-decoration: underline;"><strong>TRADE SET-UPS:</strong></span>

From the blog I am set up with multiple stop and limit orders waiting for my trades to come into play. There is no major economic data in the North American session and it looks like we will moved around by equities today. Should the JPY strengthen without any of my 3 orders being triggered I may have to chase. Regular followers will know, I do not chase, and should I do so, I try as best I can to at least obtain a little bit of a pullback to enter. The problem with any JPY move today, is that I think it has the opportunity to be dramatic.

<strong>USD/JPY</strong>: Below 101.00 the next target is 100.70. I can't really see this pair getting bullish unless it breaks above 101.40. If we see a bounce to 101.40 and a reversal back lower, this will be a great area to try a short. The 6J is in breakout territory and with regards to the Nikkei futures 13,850 is major support.. There are so many patterns and measured moves potential on the Nikkei, right now, I do not want to list them because they are potentially huge/dramatic moves......so there is a lot to consider.

<strong>EUR/USD</strong>: I have a limit order entry at 1.3775. I am not 100% certain we will get there, but looking at the EUR/USD charts here are my thoughts this morning. As stated last week or the week before and this has not altered, on the daily chart we are in an ascending wedge, which is, bearish by default. However, on the 240M chart there looks to be the possibility of an inverted head and shoulders from 1.3650 (Head)  to 1.3730/40 (neck line). Should the neckline get taken out, the measured move is to just over 1.3800, around 1.3810-30. Watch this pair.

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Today, is a day to be patient.

I will tweet should I enter trades and alert if the "triggers" are activated.

Good luck today,

Scott