Update:
thought I would post this chart because I am looking at a big move here for USDJPY the bigger timeframes are telling a good story here. you can see a perfect break and retest on my lower yellow resistance line which was previous support. which obviously coincided with the news for the dollar. either way I do believe you can see the outcome of news through the setups in the days before it comes out. (not all the time but I would say most).
okay so keeping the thought of bigger timeframe trend lines playing out if you look at the top yellow line which we are close to hitting, and zoom out/ look back you can see how relevant it has been for price action. I am looking for a bounce on my support box here and continuation to the upside before actually bearishly retesting my huge trend line. signalling the reversal and recovery for the pairs pinned to the dollar. keep in mind this is a 4hr candle so there is every possibility we wick above it chasing the previous highs but I think we should close the candle within the resistance, time will tell and regardless if you are in a long you will catch the gains if we break higher.
since we broke below the support which is now resistance it has not been retested and I think this is just the bearish retest of this zone before making new lows eventually. obviously that is a big claim but that is what I see price doing, I think the dollar is well over valued and eventually will come crashing down there is no reason why it isn't retracing already.
so look out for the test of the line, I am also watching for a drop down straight from the open and will only trade if we break my support box and I will wait for a retest aiming for my next support. if anything drastic happens I will post again but this is my analysis lets see what happens.
thought I would post this chart because I am looking at a big move here for USDJPY the bigger timeframes are telling a good story here. you can see a perfect break and retest on my lower yellow resistance line which was previous support. which obviously coincided with the news for the dollar. either way I do believe you can see the outcome of news through the setups in the days before it comes out. (not all the time but I would say most).
okay so keeping the thought of bigger timeframe trend lines playing out if you look at the top yellow line which we are close to hitting, and zoom out/ look back you can see how relevant it has been for price action. I am looking for a bounce on my support box here and continuation to the upside before actually bearishly retesting my huge trend line. signalling the reversal and recovery for the pairs pinned to the dollar. keep in mind this is a 4hr candle so there is every possibility we wick above it chasing the previous highs but I think we should close the candle within the resistance, time will tell and regardless if you are in a long you will catch the gains if we break higher.
since we broke below the support which is now resistance it has not been retested and I think this is just the bearish retest of this zone before making new lows eventually. obviously that is a big claim but that is what I see price doing, I think the dollar is well over valued and eventually will come crashing down there is no reason why it isn't retracing already.
so look out for the test of the line, I am also watching for a drop down straight from the open and will only trade if we break my support box and I will wait for a retest aiming for my next support. if anything drastic happens I will post again but this is my analysis lets see what happens.
