EURJPY - FALSE BREAKOUT SETS THE STAGE FOR A POTENTIAL DROP

21 Mac

Symbol - EURJPY

CMP - 161.95

EURJPY is currently exhibiting a false breakdown of resistance, which signals the formation of a reversal pattern near the upper boundary of the descending price channel. Additionally, market pressure, influenced by the correction of the U.S. dollar, is contributing to this development.

On the daily chart, the overall structure appears bearish. Following the false breakout of the major resistance, a correction is underway, during which the price may test the imbalance zone or the previously broken resistance before continuing its decline after liquidity is captured. The broader trend remains neutral, and in this context, it is prudent to focus on local support levels as potential targets.

Resistance levels: Channel boundary, 162.30, 163.00
Support levels: 160.84, 158.90

A retest of the channel resistance or the range between 162.4 and 163.0 is possible. However, any movement of the price below the resistance of the descending channel, coupled with a consolidation in the selling zone, could trigger further downside movement.

23 Mac

Dagangan aktif

26 Mac

Nota

Short position active at 162.70 with SL 163.30

6 Apr

Dagangan ditutup: sasaran tercapai

Both targets reached.

+284 pips profit.