USD/JPY Signal Update
Last Thursday’s signals were not triggered as although the price did hit 120.60 there was an hourly close above that level which invalidated the subsequent bearish reversal.
Today’s USD/JPY Signal
Risk 0.75%
Trades may only be taken between 8am and 5pm New York time only, or after 8am Tokyo time later.
Long Trade 1
Long entry following a bullish price action reversal on the H1 time frame immediately upon the first test of 119.44.
Place the stop loss 1 pip below the local swing low.
Move 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 ride. Take further profit at 120.00.
Long Trade 2
Long entry following a bullish price action reversal on the H1 time frame immediately upon the first test of 119.15.
Place the stop loss 1 pip below the local swing low.
Move 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 ride. Take further profit at 120.00.
Short Trade 1
Go short following a bearish price action reversal on the H1 time frame immediately upon the first test of 120.60.
Put the stop loss 1 pip above the local swing high.
Adjust the stop loss to break even once the trade is 20 pips in profit.
Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride. Take further profit at 119.80.
Short Trade 2
Go short following a bearish price action reversal on the H1 time frame immediately upon the first test of 121.14.
Put the stop loss 1 pip above the local swing high.
Adjust the stop loss to break even once the trade is 20 pips in profit.
Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride. Take further profit at 120.60.
USD/JPY Analysis
The bullish trend line I was paying close attention to last week has held. The resistance I anticipated at 120.60 was also effective but not as precisely as I was requiring for a short trade.
The key levels are all still intact and suitable for trading off today, even 120.60. It is probably they will all hold as today should be quiet.
There are no high-impact events scheduled later today concerning either the JPY or the USD.