Forex Market Analysis – Scenarios for an USDJPY long entry.
Depending on how much risk you’re willing to take, here ar some key levels you should look at. UJ showed some resistance reaction when it did hit the high around 118.50 last week. Therefor we could be at an area with a potential scalp short to re-enter for this dollar rally. the risk reward is pretty good for a scalp short at this point. + a simply upside break would extend this rally even further to the last year highs. High risk since this could prove to be a simple fake out followed by a rapid dump. + retrace to the 114 area with the 0.618 pitchfork line. additionally the area of the FOMC rate hike breakout. + a deeper retracement to the 112-111.30 area for the patience people. Here you’ve the media-line of the pitchfork move as well as the first 0.618 fib-entrancement entry. Scalp shorts can be possible at this point. but keep tight stops and also move your stop to break even if it breaks down from the recent lows.
In Other View Point – USDJPY Institutional Buy Setup
The 118.66 high on friday has since kept the buyers in check. Since then we’ve got been seeing some consolidation that’s easing the overbought conditions. the first reasonable level to see potential dip buyers step in is around the 116.12 figure. it’s entirely potential to see dip buyers step in before that at around 117, but 116.12 is a much better level and we only like the best setups here. As always we’ll be using a 30-40 pip stop loss and look to get whatever we can on the profit side. good luck to anyone that takes it! unique Forex is where retail traders become institutional traders. Learn to trade like an institutional trader and become consistently profitable.