USD/JPY Ranges Between 120.9 And 119.2
Maks Maksov | Oct 04, 2015 06:07AM ET
The USD/JPY pair is ranging between 120.9 and 119.2. I will trade H1 reversals within that range, and H4 confirmed breakout outside of it.
On the weekly chart, the pair stopped rising by the end of 2014. It ranged for quite some time, then try to resume its bullish trend but failed at breaking up the 125,5 level. It went after that sharply down during two weeks in August, and since then has been merely ranging. It now looks to be stuck between the 20 SMA resistance and the 55 SMA support.
On the daily chart the pair seems to consistently bounce from the 200 SMA resistance near 121. On the bearish side, it looks unable to break down the 119,2 support level. Bounces from those levels - 121 and 119.2 - happen with strong candles, meaning they are quite brutal and it may be difficult to keep a good R/R ratio with a position taken from the H4 level. This is why I may open a position from the H1 chart here.
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