8 May 2008 - 23:21Trading Advice 5/8/08

Hope you all booked some nice profits on either USD/JPY short or GBP/JPY short today. I still see potential for these two pairs to fall further tomorrow, especially if the Dow breaks it’s support in Europe of the US tomorrow. The US trade balance at 8:30 is likely to be huge and give traders another reason to short the dollar in general but against the yen in particular. GBP/JPY could easily fall another 300 pips from here by Friday afternoon, although Friday’s are known for being the day when people exit positions and trades fizzle out so use trailing stops and watch out for reversals.