EURJPY is making large pushes followed by deep retraces on a 4 hourly ascending channel. Looking at the MACD indicator we can see a potential higher low on the price action while MACD is making a lower low telling us price is at a lower extreme compared to the previous low.
looking for signs of strength around the channel bottom would indicate that price is ready to create a higher low which may lead to a retest of the channel high or even a gap close.
Highly recommend all risk be cut in 50% due to global factors which simply cannot be accounted for - normally my personal risk tolerance is not more than 2% however i am now reducing that to 1% maximum indefinitely.
risk for all trades is 2.00% maximum
this particular trade yields a 1:7 risk reward
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CORRECTION: this particular trade yields a 1:5 risk reward