EUR/JPY Long – Weekly Bullish Engulfing + Double Bottom Off Demand Zone
Looking to go long EUR/JPY after a clean correction into demand and signs of higher timeframe bullish continuation.
Weekly Chart:
Last week printed a bullish engulfing candle that slightly broke out of the previous supply zone, suggesting early-stage trend continuation.
While we opened this week with a sharp sell-off (around 170 pips from the highs), price action shows it was corrective, not impulsive.
4H Chart:
Price is setting up a Morning Star formation — two hours away from confirmation.
If completed, it would signal a bullish reversal right off a critical structure zone.
1H Chart:
A double bottom is forming off a predetermined 1H demand zone — a key liquidity pocket I’ve been tracking.
Recent hourly candle gapped up, further suggesting buyers are starting to step in after soaking up sell-side pressure.
Trade Thesis:
Expecting a bullish reaction from demand and a retest of the previous highs.
This correction appears technical rather than fundamental — no steamy downside momentum despite the initial slide.
Risk-Reward Profile:
Target: Retest of the highs
R:R: 1:3.5
Stop: Below the double bottom structure
This setup blends clean structure with a higher timeframe bullish bias — looking for a continuation leg if momentum holds.
Looking to go long EUR/JPY after a clean correction into demand and signs of higher timeframe bullish continuation.
Weekly Chart:
Last week printed a bullish engulfing candle that slightly broke out of the previous supply zone, suggesting early-stage trend continuation.
While we opened this week with a sharp sell-off (around 170 pips from the highs), price action shows it was corrective, not impulsive.
4H Chart:
Price is setting up a Morning Star formation — two hours away from confirmation.
If completed, it would signal a bullish reversal right off a critical structure zone.
1H Chart:
A double bottom is forming off a predetermined 1H demand zone — a key liquidity pocket I’ve been tracking.
Recent hourly candle gapped up, further suggesting buyers are starting to step in after soaking up sell-side pressure.
Trade Thesis:
Expecting a bullish reaction from demand and a retest of the previous highs.
This correction appears technical rather than fundamental — no steamy downside momentum despite the initial slide.
Risk-Reward Profile:
Target: Retest of the highs
R:R: 1:3.5
Stop: Below the double bottom structure
This setup blends clean structure with a higher timeframe bullish bias — looking for a continuation leg if momentum holds.
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.