USD/JPY Signal Update
Yesterday’s signals were not triggered as there was no bullish price action at any of the support levels which were reached.
Today’s USD/JPY Signals
Risk 0.75%
Trades must be entered between 8am New York time and 5pm Tokyo time, during the next 24-hour period only.
Long Trades
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 100.00 or 99.50.
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.
Short Trades
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 100.92, 101.27 or 101.50.
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.
USD/JPY Analysis
The price of this pair was already falling off a reversal from the resistance at 102.60 when the FOMC release came out. That was dovish for the USD so this pair continued its fall, although there has been buying close to the psychologically key level at 100.00 which is not a surprise.
This pair is the logical one to focus on at the moment as sentiment and long-term trend are both aligned bearishly here. However, it must be noted the price hasn’t made new lows for many weeks and the long-term bearish trend may be slowing down.
There is nothing due today concerning the JPY. Regarding the USD, there will be a release of Unemployment Claims data at 1:30pm London time