USD/JPY Forex Signal - 8 June 2017

08 June 2017 8:11:30 AM

By: DailyForex.com

Yesterday’s signals were not triggered as there was no bearish price action at 109.62.

Today’s USD/JPY Signals

Risk 0.75%.

Trades must be entered between 8am New York and 5pm Tokyo times, during the next 24-hour period only.

Short Trades

  • Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of the trend line currently sitting at about 110.25 or 110.72.
  • 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 run. 

Long Trade 1

  • Long entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 108.69.
  • 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 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

The short-term picture is very confusing and unpredictable, with the price erasing and clear lines below 110.00. However, at 110.00 and above there is much clearer potential resistance, with several bearish trendlines and resistance beginning at 100.00. As the long-term trend is becoming more and more bearish, shorts at 110.00 and above look to be the most high-probability potential trades during the near future.USDJPY

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

Adam is a Forex trader who has worked within financial markets for over 12 years, including 6 years with Merrill Lynch. He is certified in Fund Management and Investment Management by the U.K. Chartered Institute for Securities & Investment. Learn more from Adam in his free lessons at FX Academy.

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