he chart above shows a late advancing progression with price trying to complete the last leg of the impulse wave. It seemed the bearish move would start after a resistance at 118.82. What we saw after the resistance is a triangle sideway move. A break above is expected and we thus recommend a bullish trade as written below.
Forex trade setup: Buy USDJPY at 118. Stop loss at 117 (below the triangle support line). Target at 120. This will be invalid if price breaks below before our entry price is hit.
Alternatively, if price breaks downward instead below 116.3, what should we expect next? We will have to stand aside and wait for for a pull back action to the bearish neck of the triangle. A good bearish event will be expected to cause this, otherwise the trend is still upside.
Forex trade setup: Buy USDJPY at 118. Stop loss at 117 (below the triangle support line). Target at 120. This will be invalid if price breaks below before our entry price is hit.
Alternatively, if price breaks downward instead below 116.3, what should we expect next? We will have to stand aside and wait for for a pull back action to the bearish neck of the triangle. A good bearish event will be expected to cause this, otherwise the trend is still upside.
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