JasperForex
Short

EURJPY: After the Relief Rally

FX:EURJPY   Euro Fx/Japanese Yen
The euro             had a relief rally yesterday due to speculation the victorious Syriza party in the Greek elections will not force an exit from the Eurozone. This pair therefore spent most of its time yesterday making a 50% retracement of the latest swing low on the 1H but it seems to be preparing for some more downside. I was able to draw an exact 480 pips wide bearish parallel channel that contained the price action (PA) for the last 7.5 days.

Both the upper and the lower trendline have been tested 3 times without breaking and PA currently sits at the top of this channel (with a stoch line crossover) so I am looking to sell the high. Assuming it will continue its way down, I have marked two profit targets along the way, both just above key support levels. SL goes outside the channel, 10 pips behind the marked resistance level . There are 215 pips on the line and the trade has a reward – risk ratio of 5.2!

UPDATE: Though this trade looked promising and at one point I was 26 pips into the short, PA suddenly reversed when the euro             strengthened after the SNB vice president said it remained ready to intervene in the markets. That´s why we have a stop loss in place to minimise the loss. On to the next trade!
You don´t need to be a weatherman to know which way the wind blows - B. Dylan
UPDATE: Though this trade looked promising and at one point I was 26 pips into the short, PA suddenly reversed when the euro strengthened after the SNB vice president said it remained ready to intervene in the markets. That´s why we have a stop loss in place to minimise the loss. On to the next trade!
Reply
Ideas Scripts Chart
United States
United Kingdom
India
España
France
Italia
Brasil
Россия
Türkiye
日本
한국
Home Stock Screener Forex Signal Finder Economic Calendar How It Works Chart Features House Rules Moderators For the WEB Widgets Stock Charting Library Priority Support Feature Request Blog & News FAQ Help & Wiki Twitter
Private Messages Chat Ideas Published Followers Following Priority Support Public Profile Profile Settings Account and Billing Sign Out