400 pips in just 2 days
Skerdian Meta • 1 min read
Yes, that´s right 400 pips in 2 days. But don´t worry, you didn´t miss any forex signals because it´s not the amount of profit we made these 2 days, it´s the amount of pips that USD/JPY has moved so far. Sure we have made 400 pips profit in 2 days sometimes, even in one day, the day after the Brexit referendum a couple of weeks ago when we got 300 pips from shorting EUR/USD and GBP/USD, but the first two days of this week we´ve made a 45 pip profit so far.
The 20 moving average is providing support on the H1 forex chart
Back to USD/JPY, this has been a reasonable move which comes from the announcement of additional steps from the Japanese government and the Bank of Japan (BOJ) to increase the economic stimulus. The interest rates that the BOJ offers are in the range of 0% to -0.10% and they don´t move further into the negative territory, so the stimulus will likely be real money poured into the economy by the government.
The 100 level in USD/JPY was such a good place to open a long term buy forex signal and I was tempted to do so, but I held on because the market sentiment was so sour after the Brexit vote and felt like everything the forex traders wanted to do was run for safety, thus buying the Yen as a safe haven currency. The BOJ looked helpless but the government stepped in and that´s what changed the tide. Anyway, if there is a retrace near the 102 level we will definitely consider opening a long term buy forex signal in this forex pair.