Yesterday’s signals were not triggered as none of the key levels were ever reached.
Today’s USD/JPY Signals
Risk 0.75%.
Trades may only be taken from 8am New York time until 5pm Tokyo time, over the next 24-hour period.
Short Trades
Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 109.38 or 110.00.
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.
Remove 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 a bearish price action reversal on the H1 time frame immediately upon the next touch of 107.66.
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.
Remove 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
This pair is no longer exactly at the “heart” of the Forex market – that role has been stolen by GBP/USD after yesterday’s big move and the focus that the forthcoming British general election will inevitably provide - but it is still important and moving with a reasonable amount of volatility. The price is some way from any key levels, and is just consolidating within a new triangle formation in quite clean swings. At the time of writing, it looks as if the upper trend line will hold, and the price will remain within the triangle.
There is a strong, long-term bearish trend.
There is nothing due today regarding the JPY. Concerning the USD, there will be a release of Crude Oil Inventories data at 3:30pm London time.