USDJPY Technical Analysis And Trade Idea
Speculations on BoE that might begin scaling back its sizeable quantitative easing program caused a short term bullish JPY rally. However, considering the following facts, we believe the effects of this will be limited.
- Japanese Yen lost its safe haven asset position. Dollar replaced JPY, CHF and Gold as a safe haven asset.
- The gap between the two currencies interest rates makes USD much stronger against Yen.
110.800 – 111.100 region is a major support. USDJPY tested this support but failed the break below. EMA 200 – H4 Chart – support located at 111.000.
Anka is trading at 111.370 as of writing. 111.600 and 111.800 are the next targets of the pair.
On the Daily Chart, the trend is clearly Bullish.
What can be done?
Buy Above 111.900 Targets: 112.800, 113.300, 114.000 Stop Loss: 111.300
Buy 111.380 Stop: 110.700 Targets: 112.800 113.300 114.000
Trading can be called a profession when carried out based on specific rules. Taking a trading position based on impulsive decisions is gambling, and the results might be dramatic.
A professional trader sets out an equity management plan according to the three variables: his own temperament, equity and time.
Losing trades is the costs of doing business. If a trader doesn’t keep costs down, he’ll go out of business. Therefore, only “buy” bargain trades, with a minimum of 1:2,5 risk-reward ratio, based on the trades’ outlook. If not, wait for it. You don’t make money for entering trades, only when you profit. A favorable risk-reward ratio provides you with an overall statistical advantage.
Rules To Keep In Your Mind: Trade Safe. Money Management is the key to success in forex trading. Do not risk more than 1% of your account in each trade.
Subscribe to our premium packages if you would like to get 1000+ instruments analysis and trade signals of Chartreadreadepro.
You can contact us via Skype User Name: Chartreaderpro
DISCLAIMER: This is a technical analysis study, not an advice or recommendation to invest money
USDJPY Technical Analysis: Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these securities. You should do your own thorough research before making any investment decisions. Chartreaderpro does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Forex involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility