Today, I have spotted another possible short setup. Not very surprisingly, it is coming from the EURJPY pair. The daily chart has printed a rejection and I will be closely inspecting the intraday (4H) chart.
Together with the Thursday’s candle they form a bearish engulfing formation. This is giving further confidence to the short sellers.
I will wait for price to open and see how it will react to the 130.50 level. If I see some sort of rejection or confirmation of the short setup, I might take action.
A good target for this hypothetical trade is 128.50. Depending on price action, the move can extend down to 125.00.
Together with the Thursday’s candle they form a bearish engulfing formation. This is giving further confidence to the short sellers.
I will wait for price to open and see how it will react to the 130.50 level. If I see some sort of rejection or confirmation of the short setup, I might take action.
A good target for this hypothetical trade is 128.50. Depending on price action, the move can extend down to 125.00.