Here I have EUR/JPY on the Daily Chart!
Ever since price made its High on Nov' 15th, it has been in a decline.
With current Price Action making a series of Higher Lows into Higher Highs all while the RSI is below 50 leads me to believe we are looking at a very convincing continuation pattern called a Bear Flag!!
With the Bear Flag, we suspect Price will give us a Solid Bearish Break below the Support Leg of the Rising Channel to continue LOWER!
Strengthening my Bearish Bias is the Flattening of the 200 EMA with Price working LOWER out of the Consolidation Zone and the Interaction of the EMA with price showing strength possibly switching!
*Still waiting for Break and Close BELOW 200 EMA to confirm*
Be Aware! Price is still playing within the Parameters of Consolidation so I've marked the potential reversal area as the Support Zone.
Fundamentally this week:
EUR - Holiday (Mon) PMI (Wed) CPI (Thur)
JPY - Holiday (Mon)
*Chart Patterns are known to fail 1/3 of the time so BEWARE OF FALSE BREAKS!
-Pattern Prediction-
**If Price Breaks and Closes above Rising Channel, Pattern INVALIDATED!
**If Price Breaks and Closes below Rising Channel, Pattern CONFIRMED!
Ever since price made its High on Nov' 15th, it has been in a decline.
With current Price Action making a series of Higher Lows into Higher Highs all while the RSI is below 50 leads me to believe we are looking at a very convincing continuation pattern called a Bear Flag!!
With the Bear Flag, we suspect Price will give us a Solid Bearish Break below the Support Leg of the Rising Channel to continue LOWER!
Strengthening my Bearish Bias is the Flattening of the 200 EMA with Price working LOWER out of the Consolidation Zone and the Interaction of the EMA with price showing strength possibly switching!
*Still waiting for Break and Close BELOW 200 EMA to confirm*
Be Aware! Price is still playing within the Parameters of Consolidation so I've marked the potential reversal area as the Support Zone.
Fundamentally this week:
EUR - Holiday (Mon) PMI (Wed) CPI (Thur)
JPY - Holiday (Mon)
*Chart Patterns are known to fail 1/3 of the time so BEWARE OF FALSE BREAKS!
-Pattern Prediction-
**If Price Breaks and Closes above Rising Channel, Pattern INVALIDATED!
**If Price Breaks and Closes below Rising Channel, Pattern CONFIRMED!
Trade active:
Price Broke Bearish out of the Rising Channel!
Price came up and tested the Break of the Rising Channel and was rejected!!
Sell Entry @ 155.7
Price came up and tested the Break of the Rising Channel and was rejected!!
Sell Entry @ 155.7
