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.
