Good luck and may the odds be ever in your favor!
- | Joined Oct 2010 | Status: Member | 75 Posts
NJ looks interesting to trade this week. As other yen crosses, it rose after NFP on Friday. But the pair was already at the top of a 3 year bullish move that on longer timeframes looked like it was reversing bearish.
This is why I see this last bullish move rather as a consolidation under way, and I keeep a bearish bias on this pair.
Keep an eye for short signals around 88/89 levels, where several resistances come into play
As a swing trader, I do not plan to look for longs at current levels.
The monthly chart shows a bearish harami cross, with a very powerful bearish 3rd candle, coming at the top of a three years bullish suggesting we may expect further downward action. But the pair is now consolidating, and even went back above the 786 fib support that it broke in January.
The weekly chart shows the bullish trend in peril, as we got a lower low before being able to rally and make an even higher high, range trading for two months at that level. Right after 3 black crows, got it back to its former (lower) low. This week we have a bullish engulfing, supported by SMA100. There is a clear stochastic bearish divergence.
This is why I prefer to try and sell rallies on that pair. But the weekly bullish engulfing candle suggests the consolidation is not over.
On the daily, we can see the the 100 and 200 SMAs are around the 88 / 89 level, with the 50fib level of previous bearish move coming around 89. I will selle any good 4hr bearish signal at those levels
This is why I see this last bullish move rather as a consolidation under way, and I keeep a bearish bias on this pair.
Keep an eye for short signals around 88/89 levels, where several resistances come into play
As a swing trader, I do not plan to look for longs at current levels.
The monthly chart shows a bearish harami cross, with a very powerful bearish 3rd candle, coming at the top of a three years bullish suggesting we may expect further downward action. But the pair is now consolidating, and even went back above the 786 fib support that it broke in January.
The weekly chart shows the bullish trend in peril, as we got a lower low before being able to rally and make an even higher high, range trading for two months at that level. Right after 3 black crows, got it back to its former (lower) low. This week we have a bullish engulfing, supported by SMA100. There is a clear stochastic bearish divergence.
This is why I prefer to try and sell rallies on that pair. But the weekly bullish engulfing candle suggests the consolidation is not over.
On the daily, we can see the the 100 and 200 SMAs are around the 88 / 89 level, with the 50fib level of previous bearish move coming around 89. I will selle any good 4hr bearish signal at those levels
- | Joined Oct 2010 | Status: Member | 75 Posts
I love when my charts work ! Although I have to say this was an ugly reversal figure.
This one was hard to take on H4 for the signal was really unpretty. For those that trade from lower entries, there was enough clues on H1 to get a clean entry (double top + bearish engulfing.)
This one was hard to take on H4 for the signal was really unpretty. For those that trade from lower entries, there was enough clues on H1 to get a clean entry (double top + bearish engulfing.)
