This USD/JPY 4-hour chart showcases a breakout setup:
Key Elements:
1. Descending Trendline (Black Arrows):
A series of lower highs indicate a downtrend.
The recent candle shows a breakout above this descending trendline.
2. Support Zone (Blue Arrows):
Multiple bounces from a horizontal support level indicate strong buying interest near the 142.30–143.00 range.
3. Ichimoku Cloud:
Price is currently attempting to hold above the cloud, suggesting a potential bullish shift in momentum if sustained.
4. Target Zone:
Marked with a vertical arrow reaching toward ~146.70.
This aligns with the height of the previous range added to the breakout point.
5. Projection Path:
Zig-zag black line suggests a potential pullback (retest of the breakout), followed by continuation toward the target.
Interpretation:
Bullish Bias: The chart suggests a potential bullish breakout from a descending triangle/pennant formation.
Retest Zone: Watch for price action around the 143.00–143.40 area for a possible retest before continuation.
Target: ~146.70, offering a reward if the breakout holds.
Caution:
A fall below 142.30 would invalidate the bullish pattern and suggest reevaluation.
Would you like help setting up a trading plan or backtesting this pattern with historical data?
Key Elements:
1. Descending Trendline (Black Arrows):
A series of lower highs indicate a downtrend.
The recent candle shows a breakout above this descending trendline.
2. Support Zone (Blue Arrows):
Multiple bounces from a horizontal support level indicate strong buying interest near the 142.30–143.00 range.
3. Ichimoku Cloud:
Price is currently attempting to hold above the cloud, suggesting a potential bullish shift in momentum if sustained.
4. Target Zone:
Marked with a vertical arrow reaching toward ~146.70.
This aligns with the height of the previous range added to the breakout point.
5. Projection Path:
Zig-zag black line suggests a potential pullback (retest of the breakout), followed by continuation toward the target.
Interpretation:
Bullish Bias: The chart suggests a potential bullish breakout from a descending triangle/pennant formation.
Retest Zone: Watch for price action around the 143.00–143.40 area for a possible retest before continuation.
Target: ~146.70, offering a reward if the breakout holds.
Caution:
A fall below 142.30 would invalidate the bullish pattern and suggest reevaluation.
Would you like help setting up a trading plan or backtesting this pattern with historical data?
Trade active
Trade startTrade closed: target reached
trade runing profit done
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.