Although my overall bias on this pair is long (higher time frame - monthly level break), a Bearish engulfing candle at a level this strong feels too good to ignore. I have a very effective method of trading engulfing candles, this means i'm already in and already risk free. We also have divergence across the last two peaks.
eur/jpy broke previous support which has become resistance and is acting as supply zone due to bearish engulfing forming. Waiting for price to reach area of value so i can get better entry in going short.
Looking at a great setup on British Pound versus US dollar with Bearish Engulfing candle pattern forming on the daily charts between Friday and Monday and drill down to the 4 hourly charts and we see a head and shoulders pattern forming. Both suggesting British pound is about to head lower versus US dollar.
Additionally we have bearish...
For those of you trading crypto its worth noting that Bitcoin versus US dollar has formed a bearish engulfing on the daily and is forming consecutive lower highs on lower volumes pointing to a break lower.
Its no surprise to see that it is in over bought levels on both RSI and stochastic but coupled with collapsing volumes at these resistance...