On the EurJpy
, there is a bearish bat
pattern that is only about 20 pips away from completing as i write this and it is also currently in an overbought position according to the RSI
. This pattern will potentially complete at 115.625. Now with your stops, they must be above the X leg, but to be safe I would suggest putting them above the structure highs that are just to the left of the X leg. Usually when you see this type of structure setup, price tends to push up to the higher point. Now with targets, you have your basic T1 at the .382 and T2 at the .618.
As always follow your rules. Good luck and good trading!