USD/JPY

Introduction

Members of the Exponential Profits System (EPS) were in for a treat when they were alerted to another trade opportunity, setting up just a few days after the first successful forecast.
The EPS Trade Forecast Service is a trading report released to members twice per week that covers potential trade setups that follows the trading methodology taught in our course.

Each trading report focuses on very specific trade setups and members quality tradable opportunities before they actually happen. The EPS’s main goal is to find trades with large rewards versus low risk. The recent trade on the USD/JPY was the second successful trade in a row and shows how accurate the EPS course can be.
The purpose of this article is to show you how real trades unfold and how to capitalize on such moments. Frankly, we also want to give you a taste of the potential of the EPS system so you’ll consider taking advantage of it.

5th October 2017 Trade Report Recap

During our 5th October EPS Trade Forecast we noted the following on USD/JPY:
“We had a good trade setup last week after price reacted downwards from the 100% Fib extension level. Another look at USD/JPY and price keep hovering around the same 100% level but this time we might be in the ending phases of a very familiar corrective pattern that we should all be familiar with by now, namely the Symmetrical Triangle”.

Higher Time Frame Analysis

Below was our higher time frame chart of the USD/JPY that we shared in the report as we like to view the bigger picture of price action and market structure first.
A look at the chart above shows how price has been fluctuating above and below the 100% Fib extension level. The same level gave us our first profitable trade last week and presented our second opportunity on the 5th October after spotting a corrective pattern we call the Symmetrical Triangle.

Lower Time Frame Analysis

After our higher time frame analysis we drilled down to a smaller time frame where we applied certain Market Geometry techniques to define our corrective pattern and measure out the corrective waves to pinpoint a price area where price might complete the decline and continue the prior trend upwards.
The lower time frame chart shows how we used our knowledge of corrective patterns to correctly label and measure out the potential termination point of this Symmetrical Triangle. In our EPS course, we teach members exactly how to do this.
In this EPS Trade Forecast Report we again noted, ahead of time, that price should reach the 112.45 – 112.55 price level for a potential entry going long USD/JPY.

Entry Time Frame Analysis

Knowing where to look for potential trade setups is only part of the puzzle as EPS members are taught to use an even smaller time frame to pinpoint and confirm certain entry criteria. Once all of our criteria are met EPS members typically get to enter trades with very small risk versus high reward potential.
The entry time frame chart illustrates some of the criteria needed to qualify an entry. The first criteria would be momentum divergence which indicates a deceleration of momentum as price reaches the 78.6% Fib retracement level and the lower orange trend line of the Symmetrical Triangle.
The second criteria dictates that we need to spot some sort of reversal candlestick pattern as indicated by the red oval.
Our last criteria involves risk management and target placement. EPS members know where to place their stop loss orders (risk) and which target price to aim for ahead of time. On the entry timeframe all of our criteria were met and members had the go ahead to place entry orders as shown on the chart.

Trade Results

The chart above just goes to show how well the trade progressed after entry. As with our previous trade in USD/JPY members knew the price levels for a possible trade entry and at which price to take profit, all in advance and the results speak for themselves.
With a small stop loss order of only 11 ticks members of the EPS course had the opportunity to make 60 ticks. That is a reward vs risk ratio of just under 6 to 1 and a great result. There will be times that our forecasts do not work out but with decent reward vs risk ratios like these we stack the odds of being profitable in our EPS members favour.

Conclusion

Our result on the USD/JPY just goes to show what is possible when you take the time to understand how price action works and have the skill set to apply the right technique to the opportunity.
Our Exponential Profits System Course empowers traders to learn the skill set necessary to be profitable in today’s markets and to make sense of what is happening on your charts.
There is a learning curve involved when working through the course material as nothing in trading comes easy but we are dedicated to help our members every step of the way and have a support team in place to answer any questions related to the course.
If you are serious about taking your trading to the next level then be sure to check out the EPS course and invest in yourself.
We hope that you enjoyed this article as it offers a glimpse of what is possible with the Exponential Profits System.
Until next time, happy trading
Richard K
Price Action and Income