USD/JPY: Swing trading still the approach, but not so sure about bias anymore

I’ve been approaching USD/JPY with a swing trading mentality and a mild bearish bias, and whilst I’m still happy to trade the swings I’m not so sure about the bias anymore. There are a lot of (virtually every!) professional traders and analysts who are convinced that we are headed much higher and I guess I should stop being so stubborn and respect their opinion!

Regardless, any rallies towards 119.50 are excellent short-term selling opportunities in my view.

  1. hi sean.
    do you feel that the forex markets have been alot more trend friendly over the past 6 months?..relative to the past few years?..or is this a more natural tempo for the forex market?..cause iv been trading only since about 2011-12..which was part of the QE era (still is but i can just sense a transition)
    thanx.. ur a great help.!!

  2. Hi Rahul, these mkts feel ‘normal’ to me with 1 dominant trend (the USD) and plenty of other sub-plots with occasional shocks (SNB). These trends can persist for 12/24 months easily and it takes some fundamental shock then to reverse the mkt.
    By the way, when I started trading in 1986, cable was in low 1.50’s pretty much where it is now and AUD/USD wasn’t too far away from current levels. So FX is basically 1 big range trade with a heck of a lot of v loud noise at times 🙂

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