USD/JPY Signal Update
Yesterday’s signals produced a possible profitable short trade off the bearish reversal at 123.24.
Today’s USD/JPY Signals
Risk 0.50%
Trades may only be taken from 8am New York to 5pm Tokyo times today.
Long Trade 1
* Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 122.70.
* 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.
* 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
* Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 122.00.
* 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.
* 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 123.24.
* 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.
* 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
* Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 123.24.
* 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.
* 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 most interesting development over the past day or so has been the appearance of new support close by, at 122.70. This suggests a bullish impetus although over the long-term this pair is really ranging. Nevertheless I see this as necessitating at least a slight bias to the upside, although there is certainly no reason to be afraid of taking any good short trades that come alone. In any case, the pair generally is not moving very much anyway, although this could change in the coming days.
There is nothing due today regarding the JPY. Concerning the USD, there will be a release of ISM Manufacturing PMI data at 3pm London time.