USD/JPY Forex Signal
|Yesterday’s signals were not triggered, as none of the key levels were reached and rejected during the specified time.
Today’s USD/JPY Signals
Risk 0.75%.
Trades may be taken between 8am New York time and 5pm Tokyo time, during the next 24-hour period only.
Short Trade
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Go short following a bearish price action reversal on the H1 time frame immediately upon the next touch of 111.20.
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Place the stop loss 1 pip above the local swing high.
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Move the stop loss to break even once the trade is 20 pips in profit.
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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
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Go long following a bullish price action reversal on the H1 time frame immediately upon the next touch of 110.02.
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Place the stop loss 1 pip below the local swing low.
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Move the stop loss to break even once the trade is 20 pips in profit.
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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.
Yesterday I had a cautiously bullish bias on this pair and that worked out well, with the price having risen to make new highs over the past 24 hours. I thought the question of whether 110.00 would hold would be the key clue pointing to the short-term direction of the price, which was also correct. The price is now advancing bullishly to new highs in line with the 3-month price trend, and has broken above the key resistance level at 110.52. There is no reason not to be bullish, although the resistance level at 111.20 has been relatively strong in the past so might be quite likely to at halt the upwards movement, at least for a while.
There is nothing due today concerning either the JPY or the USD.
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