📈 EURJPY 4H Chart - My Trading Plan
In the EURJPY 4-hour chart, I observe that the trend is moving higher, clearly visible when connecting the recent highs and lows with a manual zigzag line.
A critical zone is forming around the Double Top near 164.00, which also acts as a strong supply area.
This is the major challenge ahead: for the bullish trend to continue, price must break and hold above this 164.00 resistance.
However, based on the current momentum, I believe the bulls have enough strength to push beyond this level.
🛡️ Role of Support Line
I have drawn the support line to highlight a potential reversal zone.
If the price fails to break and sustain above 164.00 and instead drops below the support area, it will signal that the double top resistance has held strong, and a deeper pullback could follow.
📊 RSI - Crucial Momentum Signal
The RSI remains above the 50 line and has not dipped below the 30 oversold level since it last touched the 70 overbought zone on March 5th.
This ongoing bullish momentum in RSI supports the idea of a continued uptrend.
🔢 Fibonacci Levels - Target Zones
I have drawn the Fibonacci extension from the recent swing low to high.
If the bullish continuation unfolds, my next key upside targets are:
- 165.350 (1.618 Fib) — Expect 1
- 166.368 (2.0 Fib) — Expect 2
🧠 Plan B - What If I'm Wrong?
If the price fails to break 164.00 convincingly and then breaks below the support line, I will prepare for a reversal trade.
In that case, I plan to double or even increase my lot size to recover any prior losses.
Although this is a higher-risk approach, I have confidence in my strategy.
Let’s trade with discipline and manage risks properly. Let's begin! 🚀
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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.