The USDJPY went into a long period of consolidation from June 2015 to April 2022,
almost seven years, and may be at the start of a potential long-term bullish trend.
Before the recent sideways market, price formed a trend that lasted from October
2011 to June 2015, rising from 75.56 to 125.85.
Now that price has broken out from the long-term consolidation zone, we need to
ensure it is not a fake breakout. We do this by waiting for a retest and then a
continuation in the direction of the breakout.
Price appears to be doing just that. Following the breakout above 125.85, price
moved higher and has since pulled back. We want to see price use 125.85 as
support and then break above the recent high at 131.34.
A break and close above that level on the daily timeframe confirms a trend continuation.
We are then likely to see further moves to the upside.
Remember that this can still be a fake breakout which is why we need confirmation
first, so patience for now until we get that breakout.
If you like enjoyed this post, make sure to like, and follow for more quality content!
If you have any questions or comments, comment below. We reply to every comment!
See below for more information on our trading techniques.
As always, keep it simple, keep it Sublime.
almost seven years, and may be at the start of a potential long-term bullish trend.
Before the recent sideways market, price formed a trend that lasted from October
2011 to June 2015, rising from 75.56 to 125.85.
Now that price has broken out from the long-term consolidation zone, we need to
ensure it is not a fake breakout. We do this by waiting for a retest and then a
continuation in the direction of the breakout.
Price appears to be doing just that. Following the breakout above 125.85, price
moved higher and has since pulled back. We want to see price use 125.85 as
support and then break above the recent high at 131.34.
A break and close above that level on the daily timeframe confirms a trend continuation.
We are then likely to see further moves to the upside.
Remember that this can still be a fake breakout which is why we need confirmation
first, so patience for now until we get that breakout.
If you like enjoyed this post, make sure to like, and follow for more quality content!
If you have any questions or comments, comment below. We reply to every comment!
See below for more information on our trading techniques.
As always, keep it simple, keep it Sublime.
