USD/JPY Forex Signal - 22 October 2015

USD/JPY Signal Update

Yesterday’s signals were not triggered.

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.

 

Long Trade 1

  • Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 118.00.

  • 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 121.22.

  • 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

I wrote yesterday that the level of 120.00 may hold as resistance today, giving a few scalping opportunities perhaps. This turned out well but we need to wait a little longer in order to establish whether this is truly going to become a major resistance level. There is a sentiment that it is a level the Bank of Japan wants to see this pair below.

We are quite far from any other easily identifiable levels so there does not seem to be any further opportunity here with this pair today.

USDJPY

There is nothing due today regarding the JPY. Concerning the USD, there will be a release of Unemployment Claims data at 1:30pm London time.

Adam Lemon

Adam Lemon began his role at DailyForex in 2013 when he was brought in as an in-house Chief Analyst. Adam trades Forex, stocks and other instruments in his own account. Adam believes that it is very possible for retail traders/investors to secure a positive return over time provided they limit their risks, follow trends, and persevere through short-term losing streaks – provided only reputable brokerages are used. He has previously worked within financial markets over a 12-year period, including 6 years with Merrill Lynch.