"Free/Trading Methods Revealed" The secret that dramatically increases USD/JPY win rate and somehow doubles profits
■Who I would like to recommend
・For beginners who are thinking of starting with USD/JPY
・People who mainly trade USD/JPY
・Those who aren’t winning as expected with USD/JPY
■5Seconds countdown: Article summary
・Between “USD/JPY” and “EUR/USD” these two currency pairs are inversely correlated
・When USD/JPY rises and EUR/USD falls, you can win with the two currency pairs2 pairs at the same time! You can win
=2times more! You can win
・When USD/JPY rises and EUR/USD also rises, since one will move in the opposite direction, do not enter
=You won’t lose (won’t waste funds)
■What does it mean that USD/JPY and EUR/USD are “inversely correlated”?
Explanation of terms Correlation = Positive correlation: both move in the same direction Inverse correlation= Negative correlation:two moves move in opposite directions |
What are inversely correlated currency pairs?
When USD/JPY is rising, EUR/USD is falling.
This is called an inversely correlated currency pair.
【USD/JPY and EUR/USD daily charts】
USD/JPY: bullish candle =red(rise), bearish candle =blue(fall)
EUR/USD: bullish candle =green(rise), bearish candle =yellow(fall)
BlueRedWhen USD/JPY is falling with blue and red,greenyellowEUR/USD tends to rise more often.
■Check the chart in practice!
Because this is forex price movement,100% isn’t guaranteed, but it’s common to see EUR/USD start to fall when USD/JPY begins to rise, so please check.
◆Indicators used in the image↓
MT4Indicator “OverLay Chart”
↓ Currently distributed for free
| https://www.gogojungle.co.jp/tools/indicators/31604 |
■Trading method (how to trade?)
Check the chart around 21:00 when USD/JPY starts moving.
2 currency pairs moving inversely; look to enter your trade.
【USD/JPY and EUR/USD 15-minute chart】
・7/29 21
FOMCThe next day, USD/JPY is falling. EUR/USD is rising, so you want to look for a short in USD/JPY.
If EUR/USD’s rise slows and it flattens, it’s time to take profit on USD/JPY.
・7/30 21時(日本時間)
USD/JPY is rising, EUR/USD is falling, so entryOK.
If EUR/USD or USD/JPY moves flat, it is time to take profit.
■Times not to enter
【USD/JPY and EUR/USD 15-minute chart】
・Times not to enter
If USD/JPY and EUR/USD move in the same direction, do not enter.
・Ways to avoid losses
If USD/JPY forms a double bottom and seems to rise, but EUR/USD is rising, do not long USD/JPY.
USD/JPY rises a little, then after 21:00 it starts to fall.
(The label in the figure “USD/JPY Double Bottom”)
■Summary
・By watching USD/JPY and EUR/USD price movements, you can improve trading accuracy.
-Decide whether to enter
-Decide when to take profit
-If one pair is in a strong range and the other is too, do not trade
When long USD/JPY, if EUR/USD is rising cleanly, you can use this to refrain from entering USD/JPY.
■Steps for beginners to become intermediate
“Inversely correlated currency pairs” are a mainstream method, so by closely watching charts and learning price movement patterns, you can improve your trading win rate.
If you understand the movement of “USD/JPY” and “EUR/USD” then next↓
Looking at “weakness and strength of currency pairs” will also improve win rate for currencies like GBP, EUR, AUD.
Furthermore, you will be able to understand news such as “the dollar weakened, so gold was bought in dollars.”
If investors focus on where funds are being invested—US stocks, precious metals, cryptocurrencies, etc.—you will better understand whether USD/JPY is a good time to buy now.