USDJPY | Perspective for the new week
With over 150pips move in our direction since my last publication (see link below for reference purposes); I have identified a trading opportunity we can take advantage of as the current structure reveals a possible reversal for a rally in the coming week(s). After plummeting earlier in the week against the Japanese yen, the USD turned around to show signs of strength again when the price broke out of Bearish Trendline (21st July 2021) thereby suggesting that the Greenback is on the verge of a potential recovery in the coming week(s).
Tendency: Uptrend (Bullish)
Structure: Breakout | Supply & Demand | Trendline | Reversal pattern
Observation: i. Since the beginning of July 2021; we witness price action spiral downward after hitting a peak @ Y111.700 (the first high this year).
ii. The price found a bottom around Y109.000/109.600 and we can agree that this zone has kept price "supported" between 8th & 19th of July 2021(2 weeks) with clues suggesting buying strength at this zone.
iii. The Breakout of Bearish Trendline that happened on the 21st of July 2021 gives cognisance to my Bullish expectation as I look forward to the completion of the correction phase of Impulse Breakout to incite a rally continuation.
iv. Above the Key level @ Y110.100 and Bullish Trend line (indicated on the chart) shall serve as an area for buying opportunity in the coming week as any move below this level negates my narrative so far.
v. It is important to expect that the early hours/days of the new week "might" see a price drop to test the Neckline, Key level, Bullish Trendline or as far as testing the Bearish Trendline at around Y109.600 to incite a rally continuation.
vi. Breakout/Retest of Y110.400 shall be an opportunity to add to the existing position... Trade consciously!😊
Trading plan: BUY confirmation with a minimum potential profit of 130 pips.
Risk/Reward: 1:5
Potential Duration: 5 to 12days
NB: This speculation might be considered to make individual decisions on the lower timeframe.
Watch this space for updates as price action is been monitored.
Risk Disclaimer:
Margin trading in the foreign exchange market (including commodity trading, CFDs, stocks, etc.) is high risk and unsuitable for all investors. The content of this speculation (including all data) is organized and published by me for the sole purpose of education and assistance in making independent investment decisions. All information herein is for your reference only and I take no responsibility.
You are hereby advised to carefully consider your investment experience, financial situation, investment objective, risk tolerance level, and consult your independent financial adviser as to the suitability of your situation before making any investment.
I do not guarantee its accuracy and is not liable for any loss or damage which may result directly or indirectly from such content or the receipt of any instruction or notification therewith.
Past performance is not necessarily indicative of future results.
Tendency: Uptrend (Bullish)
Structure: Breakout | Supply & Demand | Trendline | Reversal pattern
Observation: i. Since the beginning of July 2021; we witness price action spiral downward after hitting a peak @ Y111.700 (the first high this year).
ii. The price found a bottom around Y109.000/109.600 and we can agree that this zone has kept price "supported" between 8th & 19th of July 2021(2 weeks) with clues suggesting buying strength at this zone.
iii. The Breakout of Bearish Trendline that happened on the 21st of July 2021 gives cognisance to my Bullish expectation as I look forward to the completion of the correction phase of Impulse Breakout to incite a rally continuation.
iv. Above the Key level @ Y110.100 and Bullish Trend line (indicated on the chart) shall serve as an area for buying opportunity in the coming week as any move below this level negates my narrative so far.
v. It is important to expect that the early hours/days of the new week "might" see a price drop to test the Neckline, Key level, Bullish Trendline or as far as testing the Bearish Trendline at around Y109.600 to incite a rally continuation.
vi. Breakout/Retest of Y110.400 shall be an opportunity to add to the existing position... Trade consciously!😊
Trading plan: BUY confirmation with a minimum potential profit of 130 pips.
Risk/Reward: 1:5
Potential Duration: 5 to 12days
NB: This speculation might be considered to make individual decisions on the lower timeframe.
Watch this space for updates as price action is been monitored.
Risk Disclaimer:
Margin trading in the foreign exchange market (including commodity trading, CFDs, stocks, etc.) is high risk and unsuitable for all investors. The content of this speculation (including all data) is organized and published by me for the sole purpose of education and assistance in making independent investment decisions. All information herein is for your reference only and I take no responsibility.
You are hereby advised to carefully consider your investment experience, financial situation, investment objective, risk tolerance level, and consult your independent financial adviser as to the suitability of your situation before making any investment.
I do not guarantee its accuracy and is not liable for any loss or damage which may result directly or indirectly from such content or the receipt of any instruction or notification therewith.
Past performance is not necessarily indicative of future results.
Trade smart. Trade consciously
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