2026/01/26 USD/JPY Trade Strategy

Today's USD/JPY call: Sell.

The market opened with a gap and started off falling, and price has reached a level where anyone who went short around 9 am JST (00:00 UTC) could reasonably take profit for now.
For the next move, I’m keeping a bearish bias and waiting for a retracement.

I see Line A around 154.5 as one guide, and if price comes back up to around there, I’ll consider selling.
If it breaks below without a retracement, it looks like it could drop to around 153.3, so I’d like to find an entry somewhere along the way.

Review

It was Scenario B.

A short from around the red circle, where price failed to break above Line A and made lower highs.
I took profit when it touched the 153.3 target and started to bounce. 58 pips