Market Condition: USD/JPY Daily Breakout
Target 1: 2x ATR 107.58
Target 2: 4x ATR 104.20
Invalidation: False breakouts begin over 114.34

(Created using Marketscope 2.0 Charts)
The USD/JPY has declined as much as 1072 pips from the standing February 2016 high at 121.68. With SSI (Speculative Sentiment Index) reading at an extreme +2.23, traders may continue to look for opportunities to join the current downtrend. Breakout traders looking to join the trend may opt to plan entry orders under the current 20-Day low at a price of 110.96. With current daily ATR reading at 169 pips, initial 2X ATR targets can be found near 107.58. In the event prices reach this point, 4X targets can then be extrapolated to 104.20
In the event of a breakout, ATR can also be used to set up potential stop orders. Using 1X ATR initial stop orders may be placed near 114.34. Conversely, in the event that prices create a new 20 day high at 121.68, before breaking lower, traders may delete any pending sell orders.
To Receive Walkers’ analysis directly via email, please SIGN UP HERE