EURJPY - Potential Long Opportunity if a confirmed break occurs
Greetings Fellow Traders,
After the dramatic move up on nearly all Euro related pairs we're left wondering the big question of....where to next? EURJPY may be assisting us with providing that answer over the near term on the daily chart. Posted below is a snapshot of the weekly trend line support that has been serving the EURJPY quite well for over a year, notice how the dramatic rise occurred at that key technical level.
What is more interesting as we turn to the daily chart for immediate opportunities is the daily trend line resistance that was sitting several hundred pips higher that the market rocketed to....then stopped. Not a coincidence. Nobody knows where the market is going to stop at exactly but if we pay close attention to the obvious signals and wait, we can take part in some very good trade opportunities.
I will try to post an update if we get further confirmation of a break to the upside. This means more than likely a daily close somewhere between 135.00 and 136.00 area. Please keep in mind that the market had a very drastic move towards the end of the week and it's very likely that this trade won't mature right away. We may be looking at a week of consolidation or no trade or it might confirm a break immediately. After a daily close above the trend line, the opportunity is waiting for price to come back to the trend line and close above it from that point forward. Please make sure the trend line is confirmed broken, price simply trading above the trend line is not a confirmation, a daily close is.
Please do your own analysis before entering a trade. If you like what you see feel free to comment, follow or "like"
After the dramatic move up on nearly all Euro related pairs we're left wondering the big question of....where to next? EURJPY may be assisting us with providing that answer over the near term on the daily chart. Posted below is a snapshot of the weekly trend line support that has been serving the EURJPY quite well for over a year, notice how the dramatic rise occurred at that key technical level.
What is more interesting as we turn to the daily chart for immediate opportunities is the daily trend line resistance that was sitting several hundred pips higher that the market rocketed to....then stopped. Not a coincidence. Nobody knows where the market is going to stop at exactly but if we pay close attention to the obvious signals and wait, we can take part in some very good trade opportunities.
I will try to post an update if we get further confirmation of a break to the upside. This means more than likely a daily close somewhere between 135.00 and 136.00 area. Please keep in mind that the market had a very drastic move towards the end of the week and it's very likely that this trade won't mature right away. We may be looking at a week of consolidation or no trade or it might confirm a break immediately. After a daily close above the trend line, the opportunity is waiting for price to come back to the trend line and close above it from that point forward. Please make sure the trend line is confirmed broken, price simply trading above the trend line is not a confirmation, a daily close is.
Please do your own analysis before entering a trade. If you like what you see feel free to comment, follow or "like"
