Technical Analysis Free Forex Signals USD/JPY Forex Signal - 18 December 2017 USD/JPY Forex Signal - 18 December 2017 Monday, 18 December 2017 10:37 Share 0 Tweet 0 Pin it 0 +1 Last Thursday’s signals were not triggered, as there was no bullish price action at 112.35. Today’s USD/JPY Signals Risk 0.75%. Trades must be entered from 8am New York time until 5pm Tokyo time, during the next 24-hour period only. Short Trades Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 113.00 or 113.28. 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 ride. Long Trades Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 112.47 or 111.70. 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 ride. 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 price continued its move down last Thursday, breaking below the support level identified at 112.35, but has since recovered and it seems that same price area is again established as support, although maybe not very reliable support. I would be very careful in trading this pair, as it looks entirely driven by short-term price direction, with little higher-level predictability. Technically, there is a long-term bullish trend in force, but that probably is not going to help much as there are such wide long-term ranges, the trend means very little. I have no directional bias in this pair, but I think the most attractive trade set-up which could happen here would be a bearish turn at 113.00 or 113.28. There is nothing important due today concerning either the JPY or the USD. Currency Pairs USD/JPY Adam Lemon 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.