USD/JPY Signal Update
Last Thursday’s signals were not triggered as none of the key levels were reached during that session.
Today’s USD/JPY Signals
Risk 0.75%.
Trades must be taken from 8am New York time until 5pm Tokyo time, during the next 24-hour period only.
Long Trades
* Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 117.00 or 116.28.
* 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.
* Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to run.
Short Trades
* Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 118.77 or 119.12.
* Put the stop loss 1 pip above the local swing high.
* Move 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 run.
USD/JPY Analysis
The Japanese market was open last night and during this time we saw a little flurry of buying off the support level at 117.00 which consequently still looks valid. However, the price didn’t go very far before the move faded out.
The consolidation over recent days has produced a bearish trend line as shown in the chart below.
It will be interesting to see what happens when New York returns from holiday later. It is too early to write off the strong long-term upwards trend, even though the USD has done better lately against other currencies than it has against the Japanese Yen.
There is nothing due today regarding the JPY. Concerning the USD, there will be a release of CB Consumer Confidence data at 3pm London time.