Pick of the Day: USD/JPY

Tonight we have the long awaited interest rate decision by the Bank of Japan at 1:00 am EST. It’s been almost seven years since the Zero Interest Rate Policy has been in place, so we could possibly see a monumental move in the pair after the release of this decision. Of course, the market has pretty much factored in a rate hike of 25 bps, so what traders are waiting for really isn’t the number, but the tone of the policy makers after the release. Hawkish or dovish on future monetary policy? Well, we’ll just have to wait and see. Here’s a couple of breakout trade ideas:

Long USD/JPY at 116.15, stop at 115.95, pt1 at 116.35, pt2 at 116.50

Short USD/JPY at 114.85, stop at 115.05, pt1 at 114.65, pt2 at 114.55

Trade Review: USD/CAD

We did see a correction in this pair and it shot back up after it hit the 38% fib retracement line. Pt1 was easily hit in the next couple of hours, but we then saw the pair drop back down and close out lot 2 at breakeven. Still a good trade!

Lot 1: +35 pips

Lot 2: +00 pips

Total: +35 pips