USD/JPY Signal Update
Yesterday’s signals were not triggered as there was no bearish price action at 109.00.
Today’s USD/JPY Signals
Risk 0.75%
Trades may only be taken from 8am New York time until 5pm Tokyo time.
Short Trade 1
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 110.00.
Put 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.
Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.
Long Trade 1
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 108.43.
Put 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.
Take off 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.
USD/JPY Analysis
Although there is a strong and pronounced long-term downwards trend, if we zoom out in a short-term chart we can see that the price is maybe starting to find some support below 108.00. Short trades still look more probable, but a deeper pullback to 110.00 at least might well be on the cards, especially as it seems right now that the price does not even want to stay below 109.00. However, yesterday’s high at 109.20 has still not been breached as at the time of writing, so a downwards movement today might still happen.
Concerning the USD, there will be a release of Building Permits data at 1:30pm London time. There is nothing due regarding the JPY.