USD/JPY Signal Update
Yesterday’s signals were not triggered as there was no bearish price action at 109.27.
Today’s USD/JPY Signals
Risk 0.75%
Trades must be taken between 8am New York time and 5pm Tokyo time only.
Short Trades
Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 110.74 or 109.89.
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 108.20 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
The Japanese Yen is very weak this morning as the Bank of Japan have begun to hint that they will begin taking further easing measures. This has sent the Yen tumbling against more or less every currency, including the USD which, although weak against the commodity currencies, has begun to strengthen since London opened this morning.
The price has now exceeded the previous triple top but not be a great deal. The action in general has been quite choppy so there is not a lot of technical guidance that can be given for entries. The area around 109.27 was resistant so it might now be a logical place for a further bullish push to launch after a pullback.
There are no high-impact events due today concerning the JPY. Regarding the USD, there will be releases of CPI and Building Permits data at 1:30pm London time.