USD/JPY Signal Update
Yesterday’s signals expired without being triggered.
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
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 118.00.
Place 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.
Short Trade 1
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 121.22.
Place 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.
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 the level of 119.50 might be becoming established as minor resistance, but in fact the price has managed to rise above that level during the late Asian session previously, and at the time of writing has not dropped back down. This suggests that we may be headed to 120.00 as the next short-term move although much will depend upon the data due from the USA later today. The Yen has certainly been weakening over recent days, but it still looks as if overall this pair remains stuck within a very well-defined range.
There are no high-impact releases due today concerning the JPY. Regarding the USD, there will be a release of Building Permits data at 1:30pm London time.