CHFJPY reached our target at the resistance zone. Traders who viewed my previous idea on CHFJPY may have taken long positions and profited from it (see my idea below). Now that CHFJPY has reached the resistance zone, we can closely monitor price around the zone to look for our next opportunity. Price is currently moving along a supportive trendline, which could push price back into the resistance zone. The would mean a possible double top pattern forming, giving bears greater probabilities of a successful short.
Beyond this, CHFJPY is forming a double top pattern on the daily timeframe as well, giving a good probability of an upcoming bearish move.
Ideally, bears should wait for price to reach the resistance zone again and/or an impulsive break of the supportive trendline. A short position can then be opened with a stop loss above the resistance zone.
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