I will further describe everything in the comments section. I believe this is a good short due to a few reasons. First, GBP and EUR very bullish for next week (GU normally has a good inverse relationaship with UJ), and USD Dollar index is at a major resistance line, which I believe will impact directly how UJ behaves. Last but not least, there I have two fibonacci studies that support my idea. The first one, shows a trend discontinued and that a new one appeared, which leads me to graph the second Fibo study, which confirms the potential bearish behavior of this pair for next week until it reaches 50% of 61;8% retracement level (expecting 114.000 ...)
Komen:
Since down trend was discontinued on that 1D study, then I made this other study. In addition to my Fibo indications, We also see a resistance level that was support, and it has been broken. I will post a 3min chart below so the values can be zoomed in to the pip.
P.S.: read the description on graph.
Since down trend was discontinued on that 1D study, then I made this other study. In addition to my Fibo indications, We also see a resistance level that was support, and it has been broken. I will post a 3min chart below so the values can be zoomed in to the pip.
P.S.: read the description on graph.
Komen:
The circle shows where the trend was discontinued, since it passed the stop loss for the sell trade. New study had to be done for new trend. (See graph on the next comment)