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USD/JPY Forex Signal- July 17, 2014

By Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

USD/JPY Signal Update

Yesterday's signals were not triggered and expired.

Today’s USD/JPY Signal

Entries may only be made before 5pm New York time today, or within the following Tokyo session.

Risk 0.75% of equity.

Long Trade 1

Long entry following bullish price action on the H1 time frame after the first touch of 100.88.

Place a stop loss 1 pip below the local swing low.

Adjust the stop loss to break even when the price reaches 101.25.

Remove 50% of the position as profit at 101.65 and leave the remainder of the position to ride.

Short Trade 1

Short entry following bullish price action on the H1 time frame after the first touch of 102.22.

Place a stop loss 1 pip above the local swing high.

Adjust the stop loss to break even when the price reaches 101.86.

Remove 50% of the position as profit at 101.86 and leave the remainder of the position to ride.

USD/JPY Analysis

It seems that the area at around 101.75 is acting as resistance now. It can be seen from the chart that this level is producing flipping resistance and support. However I am reluctant to use this level for any major trade as it looks somewhat weak.

The pair has turned bullish as it seems to have made an inflection at around 101.75 and it has been heading down quite steadiy ever since. Things may now consolidate before the New York session as there is no news due that should directly move this pair until then.

USDJPY 71714

There are no high-impact data releases due today concerning the JPY, although there are concerning the USD which might well have some impact upon this pair. At 1:30pm London time London time there will be a release of US Building Permits and Unemployment Claims data followed later by the Philly Fed Manufacturing Index at 3pm. Trading in this pair is likely to be quiet before the New York session begins.

Adam Lemon
About Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.

 

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