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Finchcliffe
Jul 2, 2023 6:09 PM

AUDJPY: Classic Bull Flag Pattern Long

Australian Dollar/Japanese YenFXCM

Description

I'm expecting further strength for the Aussie this week, and weakness from the Yen against it, so I'm looking for a long.

We may fall-back to the 38.2 fib but then I think we'll see a strong move upwards, breaking out of the bull flag.

We've seen this retracement as the pair became over-bought, but we now seem clear for a continuation upwards.

I'm keeping a close eye here for signals and confirmation using LTF's.

Comment

Breakout and retest of bullflag, expecting price to reach 97.5
Comments
sharmarac
Nice one. Seems to have worked well. Gotta keep stops tight though after that move up in Jun and talk of BOJ intervention!
GBPJPY showing pretty neat divergence too and could be good hedge to the risk.
Finchcliffe
@sharmarac thanks for your comment. I haven't actually taken that trade, I agree that BoJ may chuck a curve ball in at some point, although they like a weak currency and their economic data is good, so watching JPY pairs from sidelines, as if it does turn there's a lot of room for them all to move!!
sharmarac
@Finchcliffe very wise. I couldn't resist taking a small long JPY position... to my detriment! 😄
it's unbelievable how it sucks me in every time!
Finchcliffe
@sharmarac really trying hard to be patient, my weakness is GBPUSD and that's been beating me a bit recently, but think it's heading back down now!!!
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