Sell below 111.62. Stop loss at 112.18. Take profit at 110.49. Reason for the trading strategy (technically): Price has shot up and reached our profit target perfectly. We prepare to sell below major resistance at 111.62 (Fibonacci retracement, minor pullback resistance) for a drop towards at least 110.49 support (Fibonacci extension, horizontal swing low support). Stochastic (55,5,3) is approaching major resistance at 94% where we have seen price react off multiple times historically. Correlation analysis: We’re expecting general JPY weakness with drops expected on EURJPY and USDJPY.
So glad I closed my long :) When would you recommend entering the short, I mean as in waiting for confirmation - or you prefer to enter on the resistance line?
AEFX786
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@AEFX786, Sorry just re-read your analysis, you're waiting to short from 111.62 that's what I wanted to know, thank you.