EURJPY short based on PRICE ACTION and timeframe correlation
Shorting EURJPY. Setup based on price action and timeframe correlation.
* Daily showing signs of bearishness, with signs of lower highs and previous days interacting with zonal resistance
* Linear Regression Channel on the daily is ok but not great. Price is currently near the average on the linear regression channel and in the upper half.
* Recent price action on 4h and lower timeframes is more favourable in the linear regression channel (it is interacting with upper edge of channel).
* Stoploss placement is sensibly placed based on 4hr and lower timeframes (it's above lower highs and outside linear regression channel). Not so great is the stop is still within the linear regression of the daily
* Reward to Risk is 1:1 for initial profit taking. However will keep an eye on lower timeframe to see if higher highs start occurring, with the view to potential move position to breakeven.
* Daily showing signs of bearishness, with signs of lower highs and previous days interacting with zonal resistance
* Linear Regression Channel on the daily is ok but not great. Price is currently near the average on the linear regression channel and in the upper half.
* Recent price action on 4h and lower timeframes is more favourable in the linear regression channel (it is interacting with upper edge of channel).
* Stoploss placement is sensibly placed based on 4hr and lower timeframes (it's above lower highs and outside linear regression channel). Not so great is the stop is still within the linear regression of the daily
* Reward to Risk is 1:1 for initial profit taking. However will keep an eye on lower timeframe to see if higher highs start occurring, with the view to potential move position to breakeven.
Trade closed: target reached