By IFCMarkets
Trend continues
Let us consider the USD/JPY currency pair on the daily chart. The price has been moving within an ascending corridor, confirmed by the Parabolic indicator and the Donchian channel. The RSI-Bars oscillator does not contradict our assumptions: it has shaped an uptrend channel.
We may place a buy pending order at 125.081. A stop loss can be placed at the Donchian channel opposite boundary at 122.884. This level is supported by Parabolic indicator historical values and the Bill Williams fractal. Conservative traders are recommended to wait until the oscillator support line is breached at 64%. The stop loss is supposed to be moved every day to the next fractal low, following Parabolic signals. Thus, we are changing the probable profit/loss ratio to the breakeven point.
| Position | Buy |
| Buy stop | above 125.081 |
| Stop loss | below 122.884 |
Market Analysis provided by IFCMarkets