USD/JPY Signal Update
Yesterday’s signals were not triggered and expired.
Today’s USD/JPY Signals
Risk 0.50%
Trades may only be taken between 8am and 5pm New York time only, and then after 8am Tokyo time later.
Ensure the risk is taken off all open trades by 6:30pm London time.
Long Trade 1
- Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 120.71.
- Put 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.
- Remove 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 2
- Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 120.49.
- Put 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.
- Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.
Short Trade 1
- Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 122.95.
- Put 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.
- Remove 50% of the position as profit when the trade is 20 pips in profit and leave the remainder of the position to ride.
Short Trade 2
- Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of the bearish trend line which is currently sitting at around 123.20.
- Put 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.
- Remove 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 general bearish downwards drift has suddenly become more pronounced, with the JPY continuing to act as a safety currency that funds are flowing into within the prevailing “risk off” environment.
We just bounced off a key support level at 121.47 which may now act as the low for the day at least. It would be too soon to look for a long there again today. However the key resistance is quite a long way away, up at 122.95. We will probably have to wait for the FOMC Meeting Minutes later before the price gets anywhere interesting.
There is nothing due today regarding the JPY. At 7pm London time there will be a release of the FOMC Meeting Minutes.