EURJPY HIDDEN BULLISH DIVERGENCE 4H ASCENDING CHANNEL
Updated
EURJPY is making large pushes followed by deep retraces on a 4 hourly ascending channel. Looking at the MACD indicator we can see a potential higher low on the price action while MACD is making a lower low telling us price is at a lower extreme compared to the previous low.
looking for signs of strength around the channel bottom would indicate that price is ready to create a higher low which may lead to a retest of the channel high or even a gap close.
Highly recommend all risk be cut in 50% due to global factors which simply cannot be accounted for - normally my personal risk tolerance is not more than 2% however i am now reducing that to 1% maximum indefinitely.
risk for all trades is 2.00% maximum
this particular trade yields a 1:7 risk reward
looking for signs of strength around the channel bottom would indicate that price is ready to create a higher low which may lead to a retest of the channel high or even a gap close.
Highly recommend all risk be cut in 50% due to global factors which simply cannot be accounted for - normally my personal risk tolerance is not more than 2% however i am now reducing that to 1% maximum indefinitely.
risk for all trades is 2.00% maximum
this particular trade yields a 1:7 risk reward
Comment
CORRECTION: this particular trade yields a 1:5 risk rewardDisclaimer
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.