EUR/JPY – Symmetrical Triangle Breakout & Bullish Continuation Setup
🕒 Timeframe: 30-Minute
📍 Pair: EUR/JPY
🛠 Structure: Symmetrical Triangle Breakout
📈 Bias: Bullish Continuation
🔍 1. Market Context:
The EUR/JPY pair was previously in a strong downtrend, forming a series of lower highs and lower lows. However, after reaching a significant support zone near 161.20, price found a base and began consolidating sideways.
This consolidation was followed by a bullish push that began forming higher lows, suggesting buying pressure. This transition marks the formation of a symmetrical triangle, a common continuation or reversal pattern depending on breakout direction.
🔺 2. Chart Pattern: Symmetrical Triangle
The triangle pattern forms as price compresses between converging support and resistance lines.
Support trendline: Formed by connecting the higher lows.
Resistance trendline: Formed by connecting lower highs.
This pattern reflects market indecision but often precedes a strong breakout.
A breakout to the upside is typically seen as a bullish signal, especially when it aligns with prior momentum.
✅ 3. Breakout Confirmation:
Price has clearly broken out above the resistance of the triangle pattern.
The breakout is accompanied by a sharp bullish candle that closed above resistance (around 163.00 – 163.10), confirming buyer dominance.
The breakout occurs in line with the prior bullish wave, suggesting a continuation of that trend.
💼 4. Trade Setup:
🔹 Entry:
Buy position entered at the breakout point above the triangle resistance (near 163.10).
🎯 Take-Profit Levels:
TP1: 163.655 – Short-term target based on minor structure and reaction levels.
Final Target: 164.186 – Calculated using the measured move from the height of the triangle projected upwards from the breakout.
🛑 Stop Loss (SL):
Placed at 161.933, just below the lower trendline of the triangle and the last swing low.
This SL protects the position while giving the trade enough room to breathe.
⚖️ Risk-to-Reward Ratio:
The setup offers an attractive R:R ratio, with limited downside risk and multiple bullish profit targets ahead.
With strong structure support and a decisive breakout, this setup favors trend continuation.
📌 Confluences Supporting the Trade:
✅ Symmetrical Triangle Breakout
✅ Prior bullish momentum
✅ Clean structure with defined support/resistance
✅ Higher lows leading into the breakout (bullish bias)
✅ Breakout of resistance with strong price action
📝 Conclusion:
This EUR/JPY setup represents a textbook bullish triangle breakout, supported by clear structural progression, previous trend momentum, and favorable risk-reward metrics. Traders can look for further upside toward 164.186 while maintaining risk below the triangle base.
🕒 Timeframe: 30-Minute
📍 Pair: EUR/JPY
🛠 Structure: Symmetrical Triangle Breakout
📈 Bias: Bullish Continuation
🔍 1. Market Context:
The EUR/JPY pair was previously in a strong downtrend, forming a series of lower highs and lower lows. However, after reaching a significant support zone near 161.20, price found a base and began consolidating sideways.
This consolidation was followed by a bullish push that began forming higher lows, suggesting buying pressure. This transition marks the formation of a symmetrical triangle, a common continuation or reversal pattern depending on breakout direction.
🔺 2. Chart Pattern: Symmetrical Triangle
The triangle pattern forms as price compresses between converging support and resistance lines.
Support trendline: Formed by connecting the higher lows.
Resistance trendline: Formed by connecting lower highs.
This pattern reflects market indecision but often precedes a strong breakout.
A breakout to the upside is typically seen as a bullish signal, especially when it aligns with prior momentum.
✅ 3. Breakout Confirmation:
Price has clearly broken out above the resistance of the triangle pattern.
The breakout is accompanied by a sharp bullish candle that closed above resistance (around 163.00 – 163.10), confirming buyer dominance.
The breakout occurs in line with the prior bullish wave, suggesting a continuation of that trend.
💼 4. Trade Setup:
🔹 Entry:
Buy position entered at the breakout point above the triangle resistance (near 163.10).
🎯 Take-Profit Levels:
TP1: 163.655 – Short-term target based on minor structure and reaction levels.
Final Target: 164.186 – Calculated using the measured move from the height of the triangle projected upwards from the breakout.
🛑 Stop Loss (SL):
Placed at 161.933, just below the lower trendline of the triangle and the last swing low.
This SL protects the position while giving the trade enough room to breathe.
⚖️ Risk-to-Reward Ratio:
The setup offers an attractive R:R ratio, with limited downside risk and multiple bullish profit targets ahead.
With strong structure support and a decisive breakout, this setup favors trend continuation.
📌 Confluences Supporting the Trade:
✅ Symmetrical Triangle Breakout
✅ Prior bullish momentum
✅ Clean structure with defined support/resistance
✅ Higher lows leading into the breakout (bullish bias)
✅ Breakout of resistance with strong price action
📝 Conclusion:
This EUR/JPY setup represents a textbook bullish triangle breakout, supported by clear structural progression, previous trend momentum, and favorable risk-reward metrics. Traders can look for further upside toward 164.186 while maintaining risk below the triangle base.
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Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.