trading the yen futuresIn the trading the Yen Futures with Support & Resistance video, the monthly charts shows a significant area of support has developed on the Yen Monthly chart.  The Japanese Yen Weekly chart shows that the Average True Range stop has flipped from red to blue and the Japanese Yen is now pulling back to the Average True Range stop to test it for support.  This is very significant for longer term traders because if the ATR at .008020 supports price we could see a substantial move to the upside.  However, this area has to be retested to ensure that it will, in fact, serve as an area of support.  Otherwise, price could drop.

When we zero down to the Daily Chart for trading the Yen Futures, it reveals that we may have support at .008237 because we have a daily average true range stop located in that vicinity.  Seeing this pattern, we go back up to retest the Congestion dot on the weekly at .008408 or price could oscillate while the average true range stop pulls up on the weekly charts.  These are areas to watch on the lower timeframes because they can cause significant moves.  However, it is very important to wait for the low risk trade entry setup to minimize any losses, just in case the trade does not work out in your favor.

The ADX indicator on the weekly chart is also showing a value of 53.77, although not over extended, if a magenta peak appears this will also confirm a retracement back to the ATR.  When these higher timeframes move, they give us really nice trends on the intraday charts which is why we watch for these significant areas to develop.

If you have not traded the Japanese Yen futures market before, check out the tick values here.


Trading the Yen Futures with Support & Resistance Video