OpenBook Traders Take Advantage of USDJPY Break of Support

January 31st, 12:12 pm by Sam

(eToro Blog) Japan reported that industrial production rose 4.0% in December. This was much better than analyst expectations of a rise of 2.8%. This follows a 2.7% drop in November and is a positive sign for the Japanese economy. Japanese manufacturers have been struggling to get production back to pre-earthquake levels. The 2011 March earthquake devastated supply chains for the nations industries. Also, Japanese household spending rose 0.5% in December. On the downside, the unemployment rate ticked higher to 4.6% in December from 4.5% in November. This was worse than analyst expectations who had expected the unemployment rate to stay at 4.5%. Despite the weakness in the Japanese economy, the USDJPY has fallen in the past several days.

OpenBook trader tanoli67 has taken advantage of the recent break in the support of the USDJPY. While majority of traders are holding long positions on the USDJPY, this trader has been shorting the USDJPY and booking profits. The trader started shorting the USDJPY when it was trading around 78.00 and booked profits between 3.25% and 23.19% on several trades. As the USDJPY broke below 77.00, the trader has been adding more short positions on the USDJPY. This trader has 36 copiers so far on OpenBook.

Asian markets gave much of their gains back and ended slightly in the positive territory. The Nikkei is up 9 points, the Hang Seng is up 253 points, the Shanghai index is up 8 points and the Australian S&P ASX is down 9 points. OpenBook traders are primarily long the USDJPY with average limits at 77.30 and stops at 76.00.

OpenBook top trader waleed0987 with 1434 copiers has been going against the trend and shorting the AUDUSD. This trader allocates 38.7% of his portfolio to the AUDUSD and believes that the AUDUSD rally is due for a correction. In the last twenty four hours, the trader has been shorting AUDUSD and booking profits as high as 17%. Looking at his entire trading history, we see that this trader is an Aussie bear and looks to short on every pullback.

OpenBook trader sajjad772 has been profiting by shorting the AUDUSD and USDJPY in the last several days. This trader has been using a combination of his own decision making and CopyTrader to book consistent profits.