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Euro / Japanese Yen
Short

EURJPY Multi-Time Frame Price Action Analysis, and Backtesting

By jojofang0901
Updated

Hi everyone:

Let's take a detailed look into EURJPY’s current price action, what my analysis and forecast so far,
and do some backtesting on previous prices to give us a positive outlook on the potential bearish continuation price.

Starting from the Higher time frame, clear double tops, and ascending channel reversal are very noticeable. Then the price had a bearish reversal impulse phase, pushing the price down.

After we begin to see a consolidation, forming a potential expanding correction, which can give us opportunity for a continuation of the bearish move.
snapshot


Following up on my EURJPY analysis I post, I took 2 entries so far:

First trade - 1% loss
Price wasn't ready to reverse and correctively move sideways/up, tagged me out for a loss.
snapshot

Second Trade - Enter after a rising wedge, “M” style reversal correction.
Currenting Running about +2%
snapshot

Original Full analysis/forecast:
EURJPY Another Sell Setups



So 2 TP to look out for are:
snapshot


Now, let's do some backtesting on the EURJPY previous price action.
From the Higher Time Frame:
snapshot

Similar price action in the past, can provide us a higher probability trade to enter for the downside.

The more backtesting we do, the more confidence we get at identifying the next potential impulse phase where we can capitalize.

Any questions, comments, or feedback welcome to let me know :)

Thank you


Some backtesting video I made in the past:

Backtesting & Chartwork on Forex Market


Backtesting & Chartwork on Indices Market


Backtesting & Chartwork on Crypto Market

How & Why I backtest:


Prevent Blowing an account by backtesting:



Comment
Position Update:
snapshot
Comment
Out for +2.8% profit, will monitor the price in next few days for possible re-entry.
snapshot
Comment
Downside looks more promising as we broke the previous lows, still got rooms to go :)
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backtestingChart PatternscorrectionEURFlagimpulsejpymultitimeframeanalysisParallel Channelpatternpriceactionstructure
jojofang0901

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