USD/JPY Signal Update
Yesterday’s signals were not triggered and expired.
Today’s USD/JPY Signals
Risk 0.75%
Trades may only be entered between 8am New York time and 5pm Tokyo time.
Long Trade 1
* Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 111.00.
* 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
* Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 113.63.
* 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.
USD/JPY Analysis
The price has been supported at 112.00 for the past few hours as at the time of writing. This may hold and provide a long opportunity but we are still too far from the New York open to call this one, therefore I look instead to a long entry at 111.00 which is the next key support level although 112.00 may hold.
This pair is in a strong downwards trend and in spite of the week beginning with USD strength, as soon as the swing peaked above 113.00 there was a solid downwards move. The picture is one of a strong trend continuing, although the risk that the Bank of Japan might step in with buying below 112.00 is real.
There is nothing due today concerning the JPY. Regarding the USD, there will be a release of CB Consumer Confidence data at 3pm.