USD/JPY Signal Update
Yesterday’s signals might have produced a long trade following the bullish rejection of the support level identified at 114.77.
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 only.
Long Trades
* Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 114.77 or 114.29.
* 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 Trade 1
* Go short following a bearish price action reversal on the H1 time frame immediately upon the next entry into the zone between 116.00 and 116.28.
* 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 was wrong yesterday, thinking that the price would continue to rise when it fell impulsively from the resistance at about 116.00. The price then went on to find support at 114.77 as expected, but the bullish bounce from there has been muted which suggests it might not last. The strength and speed of the next push down should be a big clue as to whether the upwards trend will get going again.
There is nothing due today regarding either the USD or the JPY.