Here, I present the daily analysis for EUR/JPY which I believe is heading long. Some confluences I have presented to support my analysis are
1 Rising wedge chart pattern- A reversal chart pattern, rising wedge breakout generally indicates a trend reversal. According to my analysis price is currently in the lower trend line of rising wedge which is why it is going up to complete the rising wedge pattern.
2. Support and Resistance: The two resistance that I have drawn can be looked upon as zones from which the price is likely to bounce back. This resistance has been tested multiple times and has the added strength of a pin bar.
3. Fibonaaci retracement: 50 and 61.8 level of fibonacci are considered strong points. As per my analysis the 61.8 level aligns with the resistance I have drawn which validates the resistance and price most likely will bounce from that level.
Furthermore, at the current price we can see another confluence for price to go long because the intersection of trendline and fibonacci is considered a strong point from where price bounces. Furthermore, the current price is at strong support which further supports my analysis of price bouncing up.
So this guys is my analysis for EUR/JPY which currently is going up. However, rising wedge breakout signifies a bearish outlook which means this pair is going short in the long run.
So Happy trading y'all #raindrop
1 Rising wedge chart pattern- A reversal chart pattern, rising wedge breakout generally indicates a trend reversal. According to my analysis price is currently in the lower trend line of rising wedge which is why it is going up to complete the rising wedge pattern.
2. Support and Resistance: The two resistance that I have drawn can be looked upon as zones from which the price is likely to bounce back. This resistance has been tested multiple times and has the added strength of a pin bar.
3. Fibonaaci retracement: 50 and 61.8 level of fibonacci are considered strong points. As per my analysis the 61.8 level aligns with the resistance I have drawn which validates the resistance and price most likely will bounce from that level.
Furthermore, at the current price we can see another confluence for price to go long because the intersection of trendline and fibonacci is considered a strong point from where price bounces. Furthermore, the current price is at strong support which further supports my analysis of price bouncing up.
So this guys is my analysis for EUR/JPY which currently is going up. However, rising wedge breakout signifies a bearish outlook which means this pair is going short in the long run.
So Happy trading y'all #raindrop