GBPJPY COMPLETION OF PATTERN AT 161.8 Short

British Pound/Japanese YenFXCM

Description

⋅ May 31, 2015 1:42 PM

SEE CHART. PRETTY MUCH SELF EXPLANATORY IF YOU UNDERSTAND THE PATTERN.
@ 161.8% IS A GOOD SELL AREA. D1 RSI DIVERGENCE.
I HAVE ENTERED A SMALL POSITION SELL AND ENTERING ANOTHER AGAIN AT BREAK OF SUPPORT TRENDLINE.
STOP MUST BE ABOVE THE 161.8%.

Comments

IvanLabrie

⋅ Jun 3, 2015 12:38 AM

We might see a broad JPY correction soon, the Nikkei is in a very toppy situation, but I'd still wait to go long again if that were to occur, specially EURJPY.

moneymaking

⋅ Jun 1, 2015 2:37 AM

Hey price action, could you clarify what type of harmonic pattern is this? Thank you :)

PriceActionTrading

⋅ Jun 1, 2015 3:53 AM

Hi moneymaking, the name im not that sure and in fact i couldnt care much about it. Haha.
It could be bat or butterfly or gartley, either way the important thing is that the pattern ends at 161.8 and it is a very good sell signal.

moneymaking

⋅ Jun 1, 2015 4:04 AM

Hey price action, what would you be waiting for before pulling the trigger? Will you be looking on lower time frames to get better entry with price action confirming?

PriceActionTrading

⋅ Jun 1, 2015 4:12 AM

@ 161.8 i have entered a small sell without any confirmation through a sell order i have placed a while ago. Adding another position once price closed below the support line. Look at how nicely the price has already bounced from the 161.8, already in 100 pips.

moneymaking

⋅ Jun 1, 2015 4:14 AM

Nice work mate. I'll be looking to join you soon only if the market gives good conformation on lower time frame :)

PriceActionTrading

⋅ Jun 1, 2015 4:18 AM

There is one confirmation now on the H4. 61.8% rejection. Although if you enter you would require a 100 pips SL. RR not as desirable but this will probably be the best price you can get in at. I am not expecting price to move higher from now on. If it does my position may be in jeopardy.

moneymaking

⋅ Jun 1, 2015 4:25 AM

Actually I am waiting for this rising wedge to be broken to the downside. Then looking to short on retest, if we get any. You can almost feel how conservative I am being on this particular trade. Is this good or bad, don't know, LOL :)

The rising wedge idea is from anilmangal, currently the 3rd top author of the day.

PriceActionTrading

⋅ Jun 1, 2015 4:27 AM

Thats a very nice setup. Its conservative alright. Haha. Your SL have to be huge to trade that i think.

moneymaking

⋅ Jun 1, 2015 4:38 AM

I think a minimum of 40 to 50 pip stop loss would be sufficient, at least it will be above 61.8% rejection candle that you pointed out earlier . Let's wait and see :)