Hello,
I am new to the site, but have been trading for some time. My focus has been on the yen pairs for the past year since I was able to determine a clear trend and profited well off the long stint to ¥85-¥103. The 200-300 pip swings were accepted as I began to learn the patterns of the USD/JPY. Unfortunately, for yen bulls in June, it was a slaughter fest and the yen strengthened as the market became more uncertain which led to a risk off scenario. As I further scaled into my position at the ¥102-¥103 mark I got crushed from the sell off,which reached as low as 93.75.
My question for the pros are:
-Is it ok to determine a price target for longer term trades and hold onto the trade until it reaches the intended price level? For example, USD/JPY is currently trading at 98.9. Based on fundamentals, I think the price will reach ¥105-¥110 by the end of the summer or early next year. Do I hold the trade at the current level and weather natural market dips and swings that occur OR create “price check points” in which you close positions at key psychological price levels and continue to buy dips when the opportunities are presented?
I thank you in advance for looking into the question.