Technical Analysis Free Forex Signals USD/JPY Forex Signal - 13 February 2018 USD/JPY Forex Signal - 13 February 2018 Tuesday, 13 February 2018 11:35 Share 0 Tweet 0 Pin it 0 Yesterday’s signals were not triggered, as there was no bullish price action at 108.05. Today’s USD/JPY Signals Risk 0.75%. Trades may only be taken between 8am New York time and 5pm Tokyo time, over the next 24 hours. Short Trade Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 108.05. 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 Trade Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of the lower descending trend line shown in the price chart below, which is currently sitting at about 107.29. 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 price reaches 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 I wrote yesterday that there are still several reasons to be bearish, as there is a long-term bearish trend and the price is moving within a clear bearish channel, admittedly with wide swings in both directions. Yet the bearish trend lines are getting steeper, which is a good sign for bears. The Japanese Yen is also relatively strong, performing as a safe-haven currency, and so is well positioned to outperform the U.S. Dollar whether equity markets begin to recover or start to drop again. This was the correct approach, as the Forex market is currently dominated by a move down which has resulted in a seemingly strong break below the multi-month low price of 108.05. We can now expect this level to become new resistance. While it is relatively dangerous to trade against a strong long-term trend, there may be a chance to go long at the channel’s lower trend line, if there is strong buying upon the price getting there. A break below that trend line could signal a much more dramatic fall. I maintain a bearish bias and this pair as at the heart of the Forex market today. There is nothing 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.