Technical Trading Tips and Techniques by 
Price action on USD/JPY has been dropping substantially since last Friday after hitting strong resistance in the 99.55-99.75 price region. This bearishness has pushed price all the way down to approach strong support around the key 96.00 level. If this level is reached and broken, a rough, intermediate head-and-shoulders formation could potentially be in the making. If that is indeed the case, the 94.50 area is the next major support level to the downside. Strong upside resistance continues to reside in the price region just under 100.00.
UPDATE: As of Wednesday (5/13/2009) morning, price action on this pair has descended all the way down to the noted 96.00 price region and slightly below. It now appears to be consolidating around that key support level.
UPDATE 2: As of Wednesday (5/13/2009) afternoon, New York session, price has dropped well below 96.00, potentially heading towards further support in the 94.50 price region.
Great analysis. I actually wanted to ask you something off topic if you have the time to answer. I was wondering if you could tell me what license I would have to get to go about becoming a forex broker. Not a forex broker like GFT, but a trader that can advise and trade currencies spot, currency options, and commodities, for clients. As well as possibly stocks. Also, do you have any advice for any good trade schools for this subject. Or do I need to work for a firm for about 6 months before being allowed to take the test like a stock broker. Thanks in advance for your time.
Hi Nick,
Thanks for visiting, and for your question. I think you are looking to become a CTA (Commodity Trading Advisor), or its equivalent outside the U.S. In the U.S., you will need to be registered with the National Futures Association (NFA) and take the Series 3 exam, which is almost exclusively on futures. Once you pass the Series 3 and register to become a CTA, you can manage futures and forex accounts according to the rules and regulations of the NFA. This does NOT, however, include stocks. For stocks, you will need other licenses/registration outside of the NFA. I’m not aware of any trade schools for this, as most of it is self-study. And in order to take the Series 3, you’ll have to be sponsored by an NFA member, whether it’s your own company or one that you work for. You can get more information at the NFA website: http://www.nfa.futures.org. Hope that helps. Thanks, Nick!
James Chen, CTA, CMT