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USD/JPY Forex Signal - 3 November 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 were not triggered and expired.

Today’s USD/JPY Signals

Risk 0.50%

Trades must be entered 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 entry into the zone between 120.28 and 120.08.

  • 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.

 

Long Trade 2

  • Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 119.66.

  • 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 121.47.

  • 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 forecast yesterday that “we now seem to be stuck between 120.28 and 121.47 and probably will remain there until we get more dramatic US economic news at some stage over the next few days.” This is exactly what is happening. There is no meaningful change to the technical picture since yesterday, although there seems to be some minor resistance developing at around 120.80. A strong break past there might see a move up to 121.25 or thereabouts, but as it is a public holiday in Japan and there is no major USD news scheduled, it is probably going to be another quiet day. My directional bias is slightly bullish.

USDJPY Forex signal

 There is nothing high-impact due today concerning either the JPY or the USD. It is a public holiday in Japan today.

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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