Short term price action on USD/JPY. Currently price is at a previous supply zone.
Based on the measurement of Top #2 from the neckline on the double top, the implusive leg to the downside gives us targets for TP1, TP2, TP3.
Protective stop loss above the 137.200 level.
Currently there are 63% of traders short on UJ. These has led to a liquidity grab based on price action moving over 135 pips back to the Supply zone collecting stop loss orders. Only 37% of traders were short. This imbalance gives us a contrarian bias. However, the shift is appearing to be in play for price to resume or at least correct from these levels after liquidity was provided
Based on the measurement of Top #2 from the neckline on the double top, the implusive leg to the downside gives us targets for TP1, TP2, TP3.
Protective stop loss above the 137.200 level.
Currently there are 63% of traders short on UJ. These has led to a liquidity grab based on price action moving over 135 pips back to the Supply zone collecting stop loss orders. Only 37% of traders were short. This imbalance gives us a contrarian bias. However, the shift is appearing to be in play for price to resume or at least correct from these levels after liquidity was provided
Trade closed: target reached:
Targets reached however, initial stop loss was hit and another entry was established after the liquidity sweep above.