EURJPY bouncing perfectly, remain bullish for a further rise
Buy above 131.80. Stop loss at 131.12. Take profit at 133.31.
Reason for the trading strategy (technically):
Price has bounced perfectly from our major support buying level at 131.80 (Bullish harmonic pattern, horizontal swing low support, bullish price action) and we expect price to rise further towards 133.31 resistance (Fibonacci retracement, horizontal swing high resistance). It’s important to note that we have surpassed a major resistance-turned-support level at 132.38 signalling that there is strong bullish momentum.
Stochastic (89,5,3) is bouncing nicely off major support at 6.7% with good upside potential.
Reason for the trading strategy (technically):
Price has bounced perfectly from our major support buying level at 131.80 (Bullish harmonic pattern, horizontal swing low support, bullish price action) and we expect price to rise further towards 133.31 resistance (Fibonacci retracement, horizontal swing high resistance). It’s important to note that we have surpassed a major resistance-turned-support level at 132.38 signalling that there is strong bullish momentum.
Stochastic (89,5,3) is bouncing nicely off major support at 6.7% with good upside potential.