USD/JPY Signal Update
Yesterday’s signals were not triggered as the bearish price action took place a little way above the anticipated resistance level of 112.32.
Today’s USD/JPY Signals
Risk 0.75%
Trades must be made between 8am New York time and 5pm Tokyo time only.
Short Trade 1
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of the broken trend line currently sitting at around 113.45.
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.
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.
Long Trade 1
Go long following extremely bearish price action reversal on the H1 time frame immediately upon the next touch of 112.17.
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.
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.
USD/JPY Analysis
Fear over yesterday’s events in Belgium, as well as the absence of much other economic data of any importance, has created an environment of risk-on sentiment that is benefiting the USD, as well as some poor Japanese projections which are impacting the Yen.
The price has broken up above the previously resistant area that was centred on 112.00 which now seems to have flipped to support with a base at 112.17.
There may be some resistance at around 113.00 where there was a previous swing high, but the old trend line higher still should be a better level as it has already acted as resistance since being broken.
There is nothing due today concerning the JPY. Regarding the USD, there will be a release of Crude Oil Inventories data at 2:30pm London time