USDJPY – Interesting Market For Your Watch List
U.S. Dollar/Japanese Yen FX:USDJPY
The daily chart of USDJPY is going to provide us new trading opportunities. The price falls to a support zone formed by 111.00 level, the uptrend line and SMA100. This zone will be able to give us buy or sell signals.
If the price bounces from this zone, it will be possible to open buy trades based on the confirmed reversal signals. We will be able to use the daily timeframe or the lower timeframes for getting trading signals. Stop orders for these buy trades should be placed below the local swing low. Profit targets will be 112.00 and 114.00 resistance levels. The reversal from the support zone will confirm the continuation of the uptrend.
If the price breaks the uptrend line, it will be a signal confirming the trend reversal. It will be possible to open sell trades based on the breakout signal using the daily timeframe . Stop orders for such trades should be placed above 112.00 resistance and the local swing high. Profit targets should be placed at the support levels.
Source: TW DLavrov