I'm looking to BUY AUDJPY in the near future.
We are currently seeing a double top forming at the 76.000 area, with price making an aggressive rejection, failing to break and make fresh highs.
0.382 fib level has been a reliable key level in the past, and as acted as both strong support and resistance.
I'll be placing an order at 75.630, here are my reasons why;
1) 0.382 fib level is a strong key level (depending whether it holds when price reaches it).
2) Candlestick formations are pointing to move lower for now, which further backs up my analysis of price reaching the 0.382.
3) 0.382 would also correlate with the current long term bearish trend, so we are likely to see candles touch and close above the trend and then continue to move upwards.
My take profit will be placed at 76.420, as this is the next major key level on this pair. My stop loss will be placed below the last lower high, with some additional room to let price breathe.
Those are the reasons I will be taking this trade. Please feel free to share your feedback and thoughts below! :)
We are currently seeing a double top forming at the 76.000 area, with price making an aggressive rejection, failing to break and make fresh highs.
0.382 fib level has been a reliable key level in the past, and as acted as both strong support and resistance.
I'll be placing an order at 75.630, here are my reasons why;
1) 0.382 fib level is a strong key level (depending whether it holds when price reaches it).
2) Candlestick formations are pointing to move lower for now, which further backs up my analysis of price reaching the 0.382.
3) 0.382 would also correlate with the current long term bearish trend, so we are likely to see candles touch and close above the trend and then continue to move upwards.
My take profit will be placed at 76.420, as this is the next major key level on this pair. My stop loss will be placed below the last lower high, with some additional room to let price breathe.
Those are the reasons I will be taking this trade. Please feel free to share your feedback and thoughts below! :)
Trade active:
My order activated earlier today.
Currently sitting at a small loss, respecting the 0.5 fib level. I am still predicted a move higher.
Currently sitting at a small loss, respecting the 0.5 fib level. I am still predicted a move higher.
Trade closed: stop reached:
Trade hit stop loss.
I chose to follow the trend over the chart pattern, which was an incorrect move, I think price will now hit the previous support level. Lesson learnt, onto the next!
I chose to follow the trend over the chart pattern, which was an incorrect move, I think price will now hit the previous support level. Lesson learnt, onto the next!
Comment:
Trade has now reverted from double top formation and is back above trend.