Main Quotes Calendar Forum
flag

FX.co ★ USD/JPY: Simple Trading Tips for Beginner Traders on July 23rd (US Session)

parent
Forex Analysis:::2024-07-23T16:52:10

USD/JPY: Simple Trading Tips for Beginner Traders on July 23rd (US Session)

Analysis of Trades and Tips for Trading the Japanese Yen

The designated levels I mentioned in the first half of the day were not tested, so suitable entry points into the market were not obtained. Everything will likely stay the same in the second half of the day since there are no important statistics, and the data on US existing home sales and the Richmond Fed Manufacturing Index will probably match economists' forecasts. Therefore, I will rely on yesterday's strategy, expecting a pair correction during the US session and a return to the daily high. As for the intraday strategy, I plan to act based on the implementation of scenarios #1 and #2.

Buy Signal

Scenario #1: Today, I plan to buy USD/JPY at the entry point around 156.32 (the green line on the chart), with a target of rising to the 156.87 level (the thicker green line on the chart). Around 156.87, I will exit the purchases and open sales in the opposite direction (expecting a movement of 30-35 points in the opposite direction from the level). Counting on a strong pair growth today is unlikely. Important! Before buying, ensure the MACD indicator is above the zero mark and starting to rise.

Scenario #2: Today, I also plan to buy USD/JPY in case of two consecutive tests of the 155.94 price, when the MACD indicator is in the oversold area. This will limit the pair's downward potential and lead to an upward market reversal. We can expect growth to the opposite levels of 156.32 and 156.87.

USD/JPY: Simple Trading Tips for Beginner Traders on July 23rd (US Session)

Sell Signal

Scenario #1: I plan to sell USD/JPY today after breaking below the 155.94 level (the red line on the chart), leading to a quick decline in the pair. The key target for sellers will be the 155.43 level, where I will exit the sales and immediately open purchases in the opposite direction (expecting a movement of 20-25 points in the opposite direction from the level). Pressure on the pair will return in case of unsuccessful actions by buyers after an upward correction and weak US data. Important! Before selling, please ensure the MACD indicator is below the zero mark and starting to decline.

Scenario #2: Today, I also plan to sell USD/JPY in case of two consecutive tests of the 156.32 price, when the MACD indicator is in the overbought area. This will limit the pair's upward potential and lead to a market reversal downward. We can expect a decline to the opposite levels of 155.94 and 155.43.

Chart Explanation:

  • Thin green line: The entry price at which you can buy the trading instrument.
  • Thick green line: The expected price where you can set Take Profit or independently fix profits, as further growth above this level is unlikely.
  • Thin red line: The entry price to sell the trading instrument.
  • Thick red line: The expected price where you can set Take Profit or independently fix profits, as further decline below this level is unlikely.
  • MACD Indicator: Using overbought and oversold zones is important when entering the market.

Important

Beginner Forex traders need to be very cautious when making market entry decisions. It is best to stay out of the market before the release of important fundamental reports to avoid sharp price fluctuations. If you decide to trade during news releases, always set stop orders to minimize losses. You must set stop orders to avoid losing your entire deposit, especially if you don't use money management and trade large volumes.

Remember that you need a clear trading plan, such as the one presented above, for successful trading. Spontaneous trading decisions based on the current market situation are initially a losing strategy for an intraday trader.

Analyst InstaForex
Share this article:
parent
loader...
all-was_read__icon
You have watched all the best publications
presently.
We are already looking for something interesting for you...
all-was_read__star
Recently published:
loader...
More recent publications...