Japanese Yen Cross Pick 07.15.09

[B]My picks:[/B] Pending Short NZD/JPY
[B]Expertise:[/B] Fundamentals and Technicals
[B]Average Time Frame of Trades:[/B] 2 - 10 Days

The down turn in the NZD/JPY last week triggered the short-entry I placed at 58.49, the 5/19 high, and I left the position open as the pair slipped to a low of 56.90 however, the sharp retracement this week stopped out my position. As the economic docket for New Zealand is expected to reinforce a weakening outlook for inflation, alleviating price pressures may lead the central bank to take further steps to stimulate the ailing economy as Governor Alan Bollard maintains the dual mandate to ensure price stability while fostering economic growth. As the kiwi-yen continues to retrace the sell-off from the previous week, I have placed another short-entry at 59.58, the 5/8 high, and placed the target at 57.10, the 5/19 low, with the stop at 60.39, the 5/11 high.