USDJPY - Intra Day
USD/JPY Potential Trade Analysis
Setup:
Area of Interest: Asia High
Psychological Level: 148.000
Trade Direction: Sell
Risk to Reward Ratio: 1:3
Stop Loss: 10 pips
Take Profit: 30 pips
Analysis:
The current chart indicates a potential selling opportunity at the Asia High level, which aligns closely with the 148.000 psychological zone. This confluence of factors strengthens the potential for a reversal or retracement at this level.
Trade Execution Plan:
Entry Point: Enter a sell position when the price reaches the Asia High near the 148.000 level.
Stop Loss: Place the stop loss 10 pips above the entry point to manage risk.
Take Profit: Set the take profit target 30 pips below the entry point, maintaining a risk to reward ratio of 1:3.
Rationale:
The psychological level of 148.000 is significant and often acts as a resistance level.
The Asia High provides an additional confirmation for potential price rejection.
A 1:3 risk to reward ratio ensures that even with a small stop loss, the trade can yield a significant profit if the price reacts as expected.
Monitoring:
Price Action: Observe how the price behaves as it approaches the 148.000 level.
Volume: Increased volume at this level can provide additional confirmation of a potential reversal.
Session Changes: Be aware of the timing of different trading sessions, as liquidity and volatility can change.
This setup offers a balanced approach to risk management and potential reward, making it a viable trade opportunity based on the current market conditions.
Setup:
Area of Interest: Asia High
Psychological Level: 148.000
Trade Direction: Sell
Risk to Reward Ratio: 1:3
Stop Loss: 10 pips
Take Profit: 30 pips
Analysis:
The current chart indicates a potential selling opportunity at the Asia High level, which aligns closely with the 148.000 psychological zone. This confluence of factors strengthens the potential for a reversal or retracement at this level.
Trade Execution Plan:
Entry Point: Enter a sell position when the price reaches the Asia High near the 148.000 level.
Stop Loss: Place the stop loss 10 pips above the entry point to manage risk.
Take Profit: Set the take profit target 30 pips below the entry point, maintaining a risk to reward ratio of 1:3.
Rationale:
The psychological level of 148.000 is significant and often acts as a resistance level.
The Asia High provides an additional confirmation for potential price rejection.
A 1:3 risk to reward ratio ensures that even with a small stop loss, the trade can yield a significant profit if the price reacts as expected.
Monitoring:
Price Action: Observe how the price behaves as it approaches the 148.000 level.
Volume: Increased volume at this level can provide additional confirmation of a potential reversal.
Session Changes: Be aware of the timing of different trading sessions, as liquidity and volatility can change.
This setup offers a balanced approach to risk management and potential reward, making it a viable trade opportunity based on the current market conditions.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.