Live Markets, Charts & Financial News

Chart Art: EUR/JPY’s Trend Continuation Trade

0 45

Don’t feel like trading the US dollar today? I’m Gucho!

It appears that the EUR/JPY is ready to test a potential area on the 4-hour chart

check it!

EUR/JPY 4-hour forex Planned by TV

If you pay attention to the yen pairs, you will know that the EUR/JPY has fallen a lot from the 158.00 resistance area.

The pair is trading near 154.50, which is not far from the S2 (153.81) Pivot Point level on the 4-hour timeframe.

But wait there’s more!

As you can see, EUR/JPY is also not far from the 50% Fibonacci retracement of the June rally, the retest of the 200 SMA, and the trendline support that has been there since April.

Buying at current levels will result in a very good risk-to-risk ratio especially if you place your stop-loss orders just below the trend line and target the previous highs of EUR/JPY.

If you prefer to sell the EURJPY, you may want to do so after EUR/JPY breaks below the support area we are watching.

Just make sure you are trading a legit negative breakout instead of a fake one if you are short EUR/JPY!

Leave A Reply

Your email address will not be published.