USD/JPY Signal Update
Yesterday’s signals were not triggered as the price did not print any bearish action when it reached 125.00 after New York opened.
Today’s USD/JPY Signals
Risk 0.50%
Trades may only be taken between 8am and 5pm New York time only, and then after 8am Tokyo time later.
Long Trade 1
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 123.00.
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 ride.
USD/JPY Analysis
I wrote yesterday that “it would not surprise me if the New York session later saw another attempt at that high (125.00) and possibly a false breakout by a few pips before the real reversal occurs.” This is more or less what happened although the pair did eventually reach 125.27 before it began to plummet around the Tokyo close / London open just now.
There is clearly resistance beginning at 125.00 but it is unlikely we will see that level today. However I do not see another really good level at which to get long before 123.00 so as far as support and resistance trading, there probably are not going to be any good entry opportunities over the next 24 hours.
There is nothing due today regarding either the JPY or the USD.