USD/JPY Forex Signal – 25 March 2019

By Adam Lemon

Last Thursday’s signals were not triggered, as there was no bearish price action at 110.73.

Today’s USD/JPY Signals

Risk 0.75%.

Trades must be entered between 8am New York time Monday until 5pm Tokyo time Tuesday.

Short Trades

— Short entry following a bearish price action reversal on the H1 time frame immediately upon the next touch of 110.27, 110.65, or 110.88.
— Place 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 run.
Long Trade

— Long entry following a bullish price action reversal on the H1 time frame immediately upon the next touch of 109.59.
— Place 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 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

I wrote last Thursday that it made sense to take a medium-term bearish bias, although the price may not fall lower than 110.26 over the short-term. I was ready to take a bearish bias if the price retraced to 110.73 and rejects it firmly. This was a good call as I was very accurate with the low, and the break above 110.73 indicated the end of the short-term bearish trend.

The price still looks bearish over the medium-term, but bullish over the short-term. The key question looks to be whether the 110.27/30 area is going to hold – that is likely to be today’s key pivotal point.

I have no real directional bias as the last few hours have been too bullish. There is no long-term trend to exploit either.

There is nothing of high importance due today concerning either the JPY or the USD.

This article provided by NewsEdge.