FX.co ★ Analysis and trading tips for USD/JPY on April 11 (US session)

Analysis of transactions and trading tips on USD/JPY

Further growth became limited as the test of 153.23 coincided with the sharp rise of the MACD line from zero. Shortly after, another test occurred, during which the MACD line went within the overbought area, provoking a signal to sell. This led to a correction of 17 pips.

Ahead lies data on US inflation and the labor market. A rise in producer prices and a decrease in jobless claims will lead to further growth of USD/JPY. Hawkish statements from FOMC members will also favor dollar, allowing the upward trend to continue.

For long positions:

Buy when the price hits 153.34 (green line on the chart) and take profit at 153.88. Growth will occur after strong reports from the US.

When buying, ensure that the MACD line lies above zero or rises from it. Also consider buying USD/JPY after two consecutive price tests of 152.86, but the MACD line should be in the oversold area as only by that will the market reverse to 153.34 and 153.88.

For short positions:

Sell when the price reaches 152.86 (red line on the chart) and take profit at 152.30. Pressure will return in the case of poor data for the US.

When selling, ensure that the MACD line lies below zero or drops down from it. Also consider selling USD/JPY after two consecutive price tests of 153.34, but the MACD line should be in the overbought area as only by that will the market reverse to 152.86 and 152.30.

What's on the chart:

Thin green line - entry price at which you can buy USD/JPY

Thick green line - estimated price where you can set Take-Profit (TP) or manually fix profits, as further growth above this level is unlikely.

Thin red line - entry price at which you can sell USD/JPY

Thick red line - estimated price where you can set Take-Profit (TP) or manually fix profits, as further decline below this level is unlikely.

MACD line- it is important to be guided by overbought and oversold areas when entering the market

Important: Novice traders need to be very careful when making decisions about entering the market. Before the release of important reports, it is best to stay out of the market to avoid being caught in sharp fluctuations in the rate. If you decide to trade during the release of news, then always place stop orders to minimize losses. Without placing stop orders, you can very quickly lose your entire deposit, especially if you do not use money management and trade large volumes.

And remember that for successful trading, you need to have a clear trading plan. Spontaneous trading decision based on the current market situation is an inherently losing strategy for an intraday trader.