jannatul96

Inverted H&S retest on Euro Yen - Intraday Short

Short
FX:EURJPY   Euro / Japanese Yen
Weekly:
- Corrective Symmetrical triangle
- 5th sub wave left to complete on this impulse wave

Daily
- Wave 4 had a nice 0.5 - 0.618 retracement & Bounced
- Going up for 5th wave
- Breakout form descending channel, no retest yet
- Red Doji

4 Hour
- In this Major Wave 3, it does not look complete. It has not reached a 1.0 extension. Expecting upside to 133 minimum to complete wave 3
- Confirmed Breakout from Slanted Head & Shoulders pattern. Bullish but possible re-test?
- Breakout form descending channel. Bullish
- At Major Resistance. Possible Bounce down
- Ascending wedge. It appears to be broken out to the upside and also a small retest but this is not clear... Not a confirmed breakout yet

2 Hour
- Clear Bearish RSI Divergence
- Not breaking Through Major Resistance
- Bullish hidden divergence? Previous retracement on price formed the same Lower Low on RSI

Trading Plan 1
- Short the Breakout of the ascending wedge
- Place entry at 130.70,
- Place SL above swing High
- Targets: wave 1 Support & 0.5 - 0.618 Fib
- 129.70 - 128.7

Reason to short:
- Ascending Wedge
- Major Resistance
- RSI Divergance
- 5 wave complete, correction expected
- Retest of Head & Shoulders Neckline
- Retest of descending channel breakout

Reasons not to short
- Hidden Bullish divergence on 2H RSI
- Not oversold yet on Daily RSI

R:R = 0.9 - 1.7

Plan B:
Wait until pullback on trading plan 2

Trading Plan 2
- Enter Long on Retest to play the H&S pattern on the 4H chart up to the Weekly Trendline resistance and to complete the Major 5th wave... This is for later

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Thanks for reading, any comments are appreciated

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