Forex Trading Money Making | USD/JPY Forex pair | Trading signals #10

Welcome back, traders and true believers of Forex Trading.

Welcome to the McDuck trading family.

In our previous post, we traded the United States Dollar / Canadian Dollar Forex pair with a Tools Trades signal, if you missed it, make sure to check it out!

Today our Forex pair of choice is going to be the United States Dollar / Japanese Yen, this is one of the most traded pair in the foreign exchange market, representing a significant quantity of daily trading. It's a pairing which is popular amongst veteran traders and novice traders alike.

As per usual, the IQ Option is going to be our trading platform, if you haven't already, be sure to give it a try!.

Let's start off by analyzing our Forex pair before we get into the trade, and for that, we are going to start with the Fundamental analysis.

Open up the Forex Factory Economic calendar and let's set it up so that it only shows relevant news.

We only need the information associated with the United States Dollar / Japanese Yen as we don't want to clutter our news feed with unimportant information.

There are five economic events today that are going to influence our Forex pair and a fair share of them are going to have a medium impact on the market. We are going to turn our attention to these ones:

1. BSI Manufacturing Index (JPY)

2. CPI m/m (USD)

3. Core CPI m/m (USD)

BSI Manufacturing Index (JPY) - A quarterly released report from Ministry of Finance, it shows us the level of a diffusion index based on surveyed large manufacturers; They survey of large manufacturers which ask respondents to rate the relative level of general business conditions; It's a leading indicator of economic health - businesses react quickly to market conditions, and changes in their sentiment can be an early signal of future economic activity such as spending, hiring, and investment;

CPI m/m (USD) - A monthly report from Bureau of Labor Statistics, this one tells us the change in the price of goods and services purchased by consumers; As consumer prices account for a majority of overall inflation and we all know that inflation is important to currency valuation because rising prices lead the central bank to raise interest rates out of respect for their inflation containment mandate;

Core CPI m/m (USD) - This report is released by Bureau of Labor Statistics, it is a monthly released report as well, this one shows us the change in the price of goods and services purchased by consumers, excluding food and energy. As consumer prices account for a majority of overall inflation, this is a very important report to look out for.

Now let's move on to the Technical analysis and see in which direction are we going to take our trade.

At the moment we are looking at a semi-neutral selling position. Oscillators are barely pointing us in the selling position, whereas the Moving Averages are pointing us in a buying position.

We can be semi-confident that a selling position is a right call, but we should keep in mind that volatility should be expected, due to the economic events on both sides.

Let's see if we can extract some more information from the chart below.

The market was mostly stable, it started off with a bullish trend then slowly transitioned into a bearish trend while battling resistance. At this point, a selling position is very likely to be the most profitable one.

It is time to get a trading signal from Tools Trades and open our trade. Hopefully, the trading signal will clear up any uncertainties that we might have and steer us in the right direction.

Don't forget to use the promo code #SHIVINVEST when you sign up for a Tools Trades account in order to receive additional free trading signals.

The signal we generated from Tools Trades was able to help me out immensely and combined with the research we did before I am now confident that the selling position would be optimal for this trade.

Once again, we have made the right decision, our hard work paid off in the end and thanks to the trading signal from Tools Trades we were able to make 1.582.14$!

That is everything for today, feel free to check out the video below on this topic, stay safe and I will see you soon with more tips and tricks, trading signals and guidelines for Forex trading!

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