USD/JPY Signal Update
Yesterday’s signals were not triggered as the price action at 102.74 was insufficiently bearish.
Today’s USD/JPY Signals
Risk 0.75%
Trades may only be entered from 8am New York time until 5pm Tokyo time later.
Short Trade 1
Short trade following a bearish price action reversal on the H1 time frame immediately upon the next touch of 103.10.
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.
Take off 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 1
Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 100.50.
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.
Take off 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 wrote yesterday that “I do not see any reason why at least 103.10 is not going to hold as a high this week.” I still think this is going to be true. We saw another attempt to rise yesterday followed by a failure at around the 103 round number so the resistance in that area continues to hold so far.
It seems a move down is quite likely in the short term, but how far the price will go is hard to gauge as there are no key support levels anywhere close by. For this reason, round and half numbers should be watched for possible bullish turns.
There is nothing due concerning the JPY. Regarding the USD, there will be a release of Unemployment Claims data at 1:30pm London time. FOMC Member Bullard will be speaking at 6:30pm.