9-25-19 USDJPY bullish breakout
Here is another Forex Trading Snack.
There is always a bit of confusion with new traders who haven’t yet settled in on a type of trader they would like to become. Most trader newbies are having to balance trading with other sources of income and a family life a well. Many tend to trade in a scalpers mode for shorter times in the markets. Yet one of the frustrations with such a style is often coming back to check in on the markets only to see a major run that had happened already. This happened to me a lot because I needed some daily sleep and my time zone places me at a disadvantage to the best time of day to trade.
The solution for me was combing two styles of trading together as one. Now it happens to be for me this way also complements my personality, so it even better—win, win!
My posts, or my ideas and explanations should reflect this style of trading, and also show how traders can anticipate types of moves off different things found in the markets everyday. Thus allowing individual traders to build a strategy in trading these moves successfully.
My trade idea with USDJPY is rather simple. The pair yesterday tested the weekly down channel ( blue lines ) as well as the daily channel ( lines in pink) and broke back above both with price momentum. This tells me higher prices are a higher probability moving forward in time.
My strategy is to buy in the red box area or zone or as close to it as we can. Setting our stops just below our average buying price, and those for mentioned broken channels which now should offer some support. Our first target is 108.60 area a major resistance zone, leaving room for a second bit of our orders to run passed if this area should break higher.
Using the zones I’ve outlined here the risk levels should be 20-50 pips risk
With a 100-150 pips of reward
Because we are looking for a short term pullback from current prices at the time of this post. I believe we should have 8-24 hours of time till such a order and trade might become a live trade. But nothing is certain I’m placing orders out within my outlined plan.
Doing this allows me freedom to get away from my screen without losing out on opportunity.
So I can now go out and live life away from my computer screen I only need to monitor or check in every hour or two to see how things are progressing or if things need readjusting. An easy thing to do from my mobile device.
As always if you decide to trade this idea the risk of loss if any is all yours.
In trading you either make dust or you will eat dust.
All the best in your trading.
There is always a bit of confusion with new traders who haven’t yet settled in on a type of trader they would like to become. Most trader newbies are having to balance trading with other sources of income and a family life a well. Many tend to trade in a scalpers mode for shorter times in the markets. Yet one of the frustrations with such a style is often coming back to check in on the markets only to see a major run that had happened already. This happened to me a lot because I needed some daily sleep and my time zone places me at a disadvantage to the best time of day to trade.
The solution for me was combing two styles of trading together as one. Now it happens to be for me this way also complements my personality, so it even better—win, win!
My posts, or my ideas and explanations should reflect this style of trading, and also show how traders can anticipate types of moves off different things found in the markets everyday. Thus allowing individual traders to build a strategy in trading these moves successfully.
My trade idea with USDJPY is rather simple. The pair yesterday tested the weekly down channel ( blue lines ) as well as the daily channel ( lines in pink) and broke back above both with price momentum. This tells me higher prices are a higher probability moving forward in time.
My strategy is to buy in the red box area or zone or as close to it as we can. Setting our stops just below our average buying price, and those for mentioned broken channels which now should offer some support. Our first target is 108.60 area a major resistance zone, leaving room for a second bit of our orders to run passed if this area should break higher.
Using the zones I’ve outlined here the risk levels should be 20-50 pips risk
With a 100-150 pips of reward
Because we are looking for a short term pullback from current prices at the time of this post. I believe we should have 8-24 hours of time till such a order and trade might become a live trade. But nothing is certain I’m placing orders out within my outlined plan.
Doing this allows me freedom to get away from my screen without losing out on opportunity.
So I can now go out and live life away from my computer screen I only need to monitor or check in every hour or two to see how things are progressing or if things need readjusting. An easy thing to do from my mobile device.
As always if you decide to trade this idea the risk of loss if any is all yours.
In trading you either make dust or you will eat dust.
All the best in your trading.
Comment:
Landscape view
Comment:
Well here is the 8 hour update. No orders have been filled just yet. But price is closing in on one of my orders.
Trade active:
Good morning everyone. There we have it, our orders were filled and now are active some 20 hours and some after I first posted up this idea. That was 20hours or more of being able to live life or also get a good night sleep without missing out on a good opportunity. At this stage I manage the orders by checking into the progress every few hours or so. Until next up date. All the best.
Comment:
www.tradingview.com/x/oLdXSilF/Here is the chart currently as we are off the one hour chart
Comment:
I’m not sure why the charts are not posting up properly.... checking into it
Trade active:
Still active but did some managing if this position. First we moved stops to BE +5 pips
This locks in a 5 pip gain in the worst case. Second, we took 1/2 of the position off the table at +35 pips and now allowing the rest to run or be taken out. It’s a free ride trade nothing but upside in best case and in worst case + another 5 pips.
This has always been my strategy. Because this frees up my time to look for new opportunities, as well as allowing my winners to run free from my emotions trying to manage this trade. We either get profit targets or we get a small win.
I’d take this kind of position every time I can manage myself into trades like this.
Here is the up date chart.
This locks in a 5 pip gain in the worst case. Second, we took 1/2 of the position off the table at +35 pips and now allowing the rest to run or be taken out. It’s a free ride trade nothing but upside in best case and in worst case + another 5 pips.
This has always been my strategy. Because this frees up my time to look for new opportunities, as well as allowing my winners to run free from my emotions trying to manage this trade. We either get profit targets or we get a small win.
I’d take this kind of position every time I can manage myself into trades like this.
Trade closed: target reached:
Well as luck would have it this weeks run up in USDJPY was a nice move to catch. Over night ( my night ) it hit another upside target I ad set at 108.20 gaining another 65 pips on the last portion of our position. It was a bit of a ruff ride going up then settling back down for a 50% retracement only then to pop back to new highs triggering out TP abs currently back down. Could it move more next week? Yes! But then why take on weekend news risk if you do not have to. Here is the landscape view.
All the best.