USD/JPY Signal Update
Yesterday’s signals were not triggered as none of the key levels were reached during the session.
Today’s USD/JPY Signals
Risk 0.75%
Trades may only be entered between 8am New York time and 5pm Tokyo time, over the next 24-hour period.
Long Trades
Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 117.52 or 117.00.
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 118.77 or 119.12.
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
I wrote yesterday that I thought we were quite likely to have a deeper pull back down to below 117.00. This is what happened, although unfortunately the identified support level at 116.28 was not reached. The price is currently moving up strongly and has made 117.00 a good level again, as well as 117.52, so we have established new support. It seems as if the resistance just above 118.00 is being broken, which could signal a continued move up to the next resistance level and possibly new multi-month highs as well.
The outlook is bullish over both the short-term and long term.
There is nothing due today concerning either the JPY or the USD.