Analysis
-CADJPY showing signs of reversal after buyers pushed price up into resistance where sellers stepped in and pushed price down before the 4H candle close.
-This price action resulted in a 4H doji setup AT RESISTANCE which is a bearish sign. If price breaks the lows of the doji, sellers may push price down further.
-There is also RSI divergence on the 15 minute chart further suggesting that we may be headed lower.
-Some of you may be considering the "breakout" indicated by the trend line. But I consider the "breakout" a weak one as it ran right into resistance and failed to close above. If we were to see a momentous breakout, price would've closed above the resistance level.
Entry, Stops and Targets
-Short Entry: 82.095
-Stop Loss: 82.46 (Set stop above the high of the reversal candle with some buffer)
-Take Profit: 81.41 (Set target 2 times your stop depending on entry)
*Always practice good risk management by risking a maximum of 1% to 2% of your capital on any given trade
-CADJPY showing signs of reversal after buyers pushed price up into resistance where sellers stepped in and pushed price down before the 4H candle close.
-This price action resulted in a 4H doji setup AT RESISTANCE which is a bearish sign. If price breaks the lows of the doji, sellers may push price down further.
-There is also RSI divergence on the 15 minute chart further suggesting that we may be headed lower.
-Some of you may be considering the "breakout" indicated by the trend line. But I consider the "breakout" a weak one as it ran right into resistance and failed to close above. If we were to see a momentous breakout, price would've closed above the resistance level.
Entry, Stops and Targets
-Short Entry: 82.095
-Stop Loss: 82.46 (Set stop above the high of the reversal candle with some buffer)
-Take Profit: 81.41 (Set target 2 times your stop depending on entry)
*Always practice good risk management by risking a maximum of 1% to 2% of your capital on any given trade
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.
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.