Start Trading Now Get Started
Table of Contents
Affiliate Disclosure
Affiliate Disclosure DailyForex.com adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

USD/JPY Forex Signal - 28 January 2015

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 expired without being triggered.

Today’s USD/JPY Signal

Risk 0.75%

Trades may be entered only between 8am and 5pm London time, and then after 8pm London time until 8am Tokyo time later.

Long Trade 1

  • Long entry following bullish price action on the H1 time frame immediately after the price first reaches 116.82.

  • Put the stop loss 1 pip below the local swing low.

  • Adjust the stop loss to break even once the trade is 20 pips in profit.

  • Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.

 

Short Trade 1

  • Short entry following bearish price action on the H1 time frame immediately after the price first reaches 119.94.

  • Put the stop loss 1 pip above the local swing high.

  • Adjust the stop loss to break even once the trade is 25 pips in profit.

  • Remove 50% of the position as profit when the trade is 25 pips in profit and leave the remainder of the position to run.

USD/JPY Analysis

This pair is amusing: it is consolidating within a narrowing triangle, within a larger narrowing triangle! This gives an idea of how strongly these two currencies are just ranging against each other. It is indicative that the huge moves we saw during the second half of 2014 have pretty much worked their way out. Huge moves tend to caused ever-decreasing choppy waves as they end, and what this pair has done over the previous few weeks is an excellent example of that.

Technically, there is nothing new to add. It may well be that a breakout from the smaller triangle will indicate which key level we are going to reach first. The big USD news tonight is likely to be a catalyst for that breakout.

USDJPY 12815

There are no high-impact data releases scheduled today concerning the JPY, but there are regarding the USD later after London closes. At 7pm London time there will be a release of the FOMC Statement and Federal Funds Rate. This might have a big impact upon the USD.

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.

 

Most Visited Forex Broker Reviews