Audjpy Short Setup - RSTRADING

94
Market Overview:
AUDJPY is currently in a daily bearish trend, rejecting a key resistance level and forming a potential lower high. The price has failed to break above a strong resistance zone around 95.151, respecting the trendline and forming a Break of Structure (BOS) on the 4-hour timeframe.

Technical Breakdown:
Trend: Bearish (Daily and 4H)

Resistance Zone: 95.151

Break of Structure (BOS): Confirmed, signaling bearish continuation

Liquidity (LIQ$): Below recent lows, where sellers are likely targeting

50% of Previous Daily Candle: Acting as a key level for potential short entries

Risk-to-Reward (R:R): 1:6 potential trade setup

Trade Plan:
📉 Short Entry: After a potential pullback to the 50% of previous daily candle or a minor retest of the recent structure break.
🎯 Target: Major liquidity zone around 91.822 - 92.516
🛑 Stop Loss: Above 95.151 resistance zone

Confluence Factors:
✅ Trendline rejection - Price respecting the descending trendline
✅ Bearish structure confirmed - BOS indicates continuation to the downside
✅ Liquidity grab expected - Targeting liquidity at the lower key levels

🔎 Overall Bias: Bearish with a high-probability short setup. Watching for a possible retracement before continuation to downside.

Disclaimer

The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.