Economic Analysis Advantages
1. USD/JPY has only rebounded because of the positive job numbers from NFP this wave is likely to be short-lived.
2. Fed Powell is speaking about interest rates before the day comes for him to speak a lot of people will abandon the USD before the announcement to avoid getting caught in the volatile market. Fewer people holding the USD means a weaker currency which makes it easier for JPY to push this pair down.
3. The Yens Price index just started a candle which will further support the yens strength in this market.
4. The Yen has no major news coming out this week which means its not subjected to large market that the USD will be exposed to this week with multiple announcements.
1. If we look left we can clearly see there's a massive downtrend indicating this market is bear. Again the short boost from USD is from NFP job numbers which will be short lived. I believe the long term trend will not be broken this week.
2. We are inside major resistance on the 4-hour chart if you look left you can see this level has been tested multiple times I circled the level getting tested with "orange circles"
1. The president of the united states is subject to saying critical things on whim lucky for us he has no major addresses this week.
Entry: Inside of the blue zone
Stop Loss: Edge of the red zone
Profit: Edge of the green zone
I avoided given exact numbers because I know many traders have different entry reasons. But of my account, I am risking 7% on this idea. JPY STRENGTH is the plan.
This isn't financial advice but don't be on the wrong side of the trade, and if you are, USE proper risk management to trade another day.
This is the remaining strength from the USD positive NFP numbers that will be short lived.
I talked about the possibility of a spike upward from the remaining strength in my previous post.