USD/JPY Signal Update
Yesterday’s signals were not triggered as none of the key levels were reached until after the end of the Asian session.
Today’s USD/JPY Signals
Risk 0.75%.
Trades may only be taken 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 occurring within the zone between 113.15 to 112.86.
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 run.
Short Trade 1
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 114.39.
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 run.
The best method to identify a classic “price action reversal” is for an hourly candle to close, such as a pin bar, a doji, an outside or even just an engulfing candle with a higher close. You can exploit these levels or zones by watching the price action that occurs at the given levels.
USD/JPY Analysis
The medium term downwards trend has continued and accelerated for another day, with the Yen being one of the major beneficiaries of the U.S. Dollar’s selloff. At the time of writing, the price has reached a key zone of anticipated support where a bullish reversal would be significant. Should that break, the downwards movement will be likely to continue to at least the next support level at 111.91.
There is nothing due today regarding the JPY or the USD.