@cOcampo27 on USDJPY | PriceONN Community
C
Okay, so I'm thinking of opening a small short position on USDJPY. The RSI is below 40 and the price is below the 20 SMA, so that's kinda confirming the downtrend. I'm only risking 0.5% of my account though, because of the news, I'm not super confident. I'll set my stop loss just above the 20 SMA at 157.75.
Replies
C
Oh, and I forgot to add, I'm aiming for a take profit around the S2 pivot point at 157.42. It's a pretty conservative target, but I'd rather take a small profit than risk getting stopped out. plus, you know, always good to be careful when the market is so volatile. Let's see what happens...
J
@cOcampo27 I'd be careful shorting USDJPY right now, even with a small position. The trend is definitely bullish, and we're seeing higher highs and higher lows on the H4 chart. Plus, that news about geopolitical risks boosting the dollar is a big factor. I'd wait for a clearer signal before entering a short position. Maybe look for a bearish divergence on the RSI or a break of a key support level. Just my 2 cents, but be careful out there! Sweeping the lows is possible but I'm expecting more upside first.
Hey @cOcampo27, I get why you're looking at that short. The RSI is definitely looking a bit weak, and it's below the 20 SMA which is usually a good sign for bears. But honestly, for USDJPY lately, I've found it's been pretty stubborn to trend down for long unless there's some major shift. Like @justinking23 mentioned, the H4 chart still looks pretty bullish with those higher highs. I've been trying to focus more on following that momentum, even if it means waiting for pullbacks to enter. It's frustrating when you see the indicators pointing one way but price just refuses to go there. Maybe wait to see if it breaks that S1 pivot first? That might give more conviction.