Hey traders,
another week of trading is starting and i want to share with you one of my analysis.
Here on USDJPY on the daily timeframe we can see we couldn't get through the 118,50 level. Price tested it once, twice and then broke structure to the downside, giving us reason to believe it may head lower in the ensuing days. You can see there's also RSI divergence.
Now i know i want to sell this pair, but how can i do it? Normally, in a lower timeframe i could use 2618 technique but i don't trade directly on the daily chart.
That's why i outlined a box where i know i could have a good risk to reward ratio. In the next days i'm paying attention to the hourly and 4hour chart in order to find a selling opportunity.
I'll let you know if and when i'm getting involved.
Best of luck in the markets!
As usual, if you want to ask something, you can write in the comment section.
Otherwise, see you in the next chart!
another week of trading is starting and i want to share with you one of my analysis.
Here on USDJPY on the daily timeframe we can see we couldn't get through the 118,50 level. Price tested it once, twice and then broke structure to the downside, giving us reason to believe it may head lower in the ensuing days. You can see there's also RSI divergence.
Now i know i want to sell this pair, but how can i do it? Normally, in a lower timeframe i could use 2618 technique but i don't trade directly on the daily chart.
That's why i outlined a box where i know i could have a good risk to reward ratio. In the next days i'm paying attention to the hourly and 4hour chart in order to find a selling opportunity.
I'll let you know if and when i'm getting involved.
Best of luck in the markets!
As usual, if you want to ask something, you can write in the comment section.
Otherwise, see you in the next chart!
Trade closed: target reached:
First target achieved for those who take this as a 2618