AUDJPY Short idea
Higher timeframes are significantly bearish although we have seen a strong 4hour bullish trend up until our monthly zone around 76.500
From this level we saw a strong reversal in the form of a large head & shoulders pattern. Price action has been forming lower highs and lower lows since which line up with the overall bearish sentiment
At the current level we have two potential scenarios that could play out
1.Price action forms strong bearish setups at the current level below resistance at 73.800, look to target lower toward 72.600 (Trader Path #1)
2. Price action pushes higher, breaks & retests 73.800. Look to target higher toward major resistance around 74.650 (Trade Path #2)
Higher timeframes are significantly bearish although we have seen a strong 4hour bullish trend up until our monthly zone around 76.500
From this level we saw a strong reversal in the form of a large head & shoulders pattern. Price action has been forming lower highs and lower lows since which line up with the overall bearish sentiment
At the current level we have two potential scenarios that could play out
1.Price action forms strong bearish setups at the current level below resistance at 73.800, look to target lower toward 72.600 (Trader Path #1)
2. Price action pushes higher, breaks & retests 73.800. Look to target higher toward major resistance around 74.650 (Trade Path #2)