USD/JPY Signal Update
Yesterday’s signals were not triggered.
Today’s USD/JPY Signals
Risk 0.75%
Trades must be entered from 8am New York time until 5pm Tokyo time.
Short Trades
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 111.81 or 112.21.
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 Trades
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 110.74, 109.48 or 109.27.
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
Unfortunately the price was just sitting on 110.74 as I made yesterday’s forecast, so although I identified it as support on the chart I was unable to give a signal off it. As it turned out, this price was the floor and the chart below shows how it acted as good support.
The focus has moved away from the Japanese Yen although later in the week the Bank of Japan will be giving their monthly statement. For now, it seems likely the price will be extremely quiet until the FOMC release due later after London closes, but this event might give a good spike and reversal off one or more of the key levels.
Regarding the USD, there will be a release of Crude Oil Inventories at 3:30pm London time, followed later by the FOMC Statement and Federal Funds Rate at 7pm. Concerning the JPY, the Bank of Japan will be releasing its Outlook Report and Monetary Policy Statement at 6am.