USDJPY Short- Top of Symmetrical Triangle
USDJPY has appreciated for 2 consecutive days.
The 2nd wave of appreciation is clearly weaker than the 1st wave from the bottom of a symmetrical triangle.
The upside is now very limited and thus providing an appetite to sell near the current high.
The resistance at the top near 113.6 to 114 is formed by a demand zone, top of a 2-month symmetrical triangle, as well as the extreme high of the bollinger band.
Not forgetting to mention that the DXY is also seen resisted at its previous high around 97.5 and that in itself gives a high probability for a reversal to take place.
The 2nd wave of appreciation is clearly weaker than the 1st wave from the bottom of a symmetrical triangle.
The upside is now very limited and thus providing an appetite to sell near the current high.
The resistance at the top near 113.6 to 114 is formed by a demand zone, top of a 2-month symmetrical triangle, as well as the extreme high of the bollinger band.
Not forgetting to mention that the DXY is also seen resisted at its previous high around 97.5 and that in itself gives a high probability for a reversal to take place.
Trade active:
Sell Limit triggered. Stop loss recommended placing roughly 20 pips above 114.
As of current, the seller commitment is still not strong enough and price may still climb a little higher.
Traders can consider waiting for a higher price or perhaps enter a smaller size first.
As of current, the seller commitment is still not strong enough and price may still climb a little higher.
Traders can consider waiting for a higher price or perhaps enter a smaller size first.
The significant drop which was later recovered shows that there's
already seller ready to commit to selling the high again.