FX:CADJPY Canadian Dollar/Japanese Yen
Price is trending down on this daily time frame and confirmed with higher time frames. Price has recently retraced to a major and formed a long tailed bar. The long tailed bar indicates sellers have taken control of price over the last 24 hours. Price has tested a major and was rejected which is also at the 50% Fibonacci level. All these indications make me biased towards a downward move. Entry can be placed half way of long tailed bar, stop placed above the high of the candle and target at next are of long term support. Reward is 2:1.
Comment: I normally only trade perfect pin bars however in this case the long tail indicates a strong rejection which is similar to a normal bearish pin bar so I am treating this candle the same way as I would with a pin bar.
Trade closed: stop reached