This chart may look a little noisy, but i assure you everything is of relevance.
I'm really liking this setup. We have a potential double bottom formed (Highlighted black circle)... This has formed right on the targets of the previous rising wedge (1618 ext targets)
The double bottom has divergence across both of the legs, and the neckline (123.4) has been...
We have encountered a break of the falling wedge but more importantly, we are seeing signs of a structure shift on the 4-hour time frame. I will be waiting patiently for the price to pullback into the key zone marked and show signs of rejection before considering my long position. This looks like a fantastic setup to take advantage of today.
COT Data - 49% Long
I have had to re-publish this as it was removed by T-View. My outlook is stil very much the same.
The difference is now we have converted 1.73 and we saw a continuation form yesterday targets will be slightly lower than is marked above, but ill see how it moves and adjust lower accordingly.
This pair is in a nice uptrend now, looking at the last movement if I had taken the marked trade it would have been a 600 pip movement. Given that this has not yet reached the previous resistance line I am aiming to catch roughly the same movement again before we hit the resistance and reverse the trend. Please feel free to comment your thoughts on this.
USDJPY Buy - Entry off of double bottom formation with divergence and TDI hook below 32.
- Stop loss below the formation by 10 pips
- Entry at RSI (green) Signal line (red) cross
- Divergence on TDI
- Bullish cycle
- Exit TP 1 @ days initial high
Confirmation point double bottom pattern on Equifax stock (EFX) passed.
1. Waited to see price reach 125.00
2. This stock has dropped a lot recently but this is a reflection of the current market situation not the share.
3. Double bottom pattern is a historically accurate pattern to trade.
Points to consider
Corona virus has been making the markets very choppy...
Now we see the formation of a potential bottom.
Other factors, descending trend line with multiple touches. If we see a re test of the highlighted lower zone and another touch of the trend line then i am looking for a push to the upside. However with the corona virus and the recent news of a lockdown we may see violent behaviour across all pound pairs. Be careful...
Lovely little set up here. GBPJPY approaching a double bottom set up and a key buy zone historically.
Confluences for this trade
1. Need to see price reach same area as previous bottom. If not i will not take the trade. Once reached look for continues rejection probably on lower time frames (15 min and 30 min).
2. This pair has dropped a lot recently so normally...
- Good opportunity to make a quick short-term long trade on the GBP/USD here with a double bottom (more or less) formed on the 15-min chart
- If all goes to plan, then the price could deflect entirely off the $1.286 - $1.285 support levels (thick double red horizontal lines), and send the pair beyond $1.29 (green horizontal resistance line) to reach the next...
Head and shoulders formed above with default projections at 200% fib extension (1.09533);
Bullish crab and shark patterns projected at 1.09593 at 161,8% fib extension;
Eventual double bottom: neck and validation point above 1.10956 (daily fractal resistance) & default target above one broken neck around 1.11997.