FX.co ★ Trading tips for USD/JPY

The statements of Fed Chairman Jerome Powell yesterday provoked large swings to all dollar pairs, except the USD / JPY, which remained the same, perhaps because it just finished forming an Elliot wave (ABC wave pattern).

This scenario makes it ideal to open short positions, expecting a price decline in the coming days.

Since the pair developed a three-wave pattern where wave A is the selling pressure observed in November, traders can take short positions from current prices, following the plan presented in the screenshot above.

Set stop loss at 115 and take profit on breakdown of 112.5

This trading idea is based on Price Action and Stop Hunting strategies.

Good luck and have a nice day!