Dear Tradingview family,
Symbol: #USDJPY
Strategy: #Trend_Reversal #Breakout_Falling_Wedge.
Trade Call Type: #Long.
Indicators: #Price_Action. #Chart_patterns, #Falling Wedge, #Bullish_breakout. #RSI_Bullish_Divergence. #RichTL
Entry: Long when price breaks the falling wedge pattern and retest the support on 1 hour time frame.
Anchor Time: 4 Hours
Trading Time Frame: 1 Hour.
Entry Price: 131.935
Stop Loss: 130.341
Take Profit 1: 133.781
Take Profit 2: 137.805
Risk Reward Ratio TP1: 1: 1.35
TP2: 1: 4.41
Methodology:
As a professional and experienced forex, crypto and stocks trader, I will be using a rigorous methodology that involves analyzing the price action and key levels and using a combination of indicators and chart patterns. I will be looking for potential trendlines, support & resistance levels where the price action may reverse and using our indicators to confirm the validity of our analysis. Based on my analysis, I will then determine the optimal entry and exit points for our trade, as well as the appropriate stop loss level to manage risk.
Analysis:
The current price action on the USD JPY chart is showing a clear Breakout of falling wedge pattern. on 4 hourly timeframe. Additionally, the RSI indicator is showing an bullish divergence from left shoulder on 4 hourluy time frame. Price is struggling on a Daily Support line and RSI on Daily and weekly time frames are not showing and strong signs to break down this support at this moment. I analyses that price may go up on resistance to expand weekly time frame right shoulder’s width and to form a double top before breaking support on current level.
Price action’s this move provides me opportunity to earn some profits on lower time frames; 4 hour and 1 hour when it is providing a great value of RRR.
My Buy Limit entry is planned to execute when price action come down to retest the broken trendline and support zone.
Conclusion:
Based on our analysis, I believe that there is a potential trading opportunity for a LONG trade.
My take profit targets will be further resistance levels on the chart; named R1 and R2. R1 provides us RRR of 1:1.35 and R2 provides us RRR of 1:4.41 which is a good balance between risk and potential profit.
After booking partial profit on R1, I would trail my stop loss to Entry Point.
Overall, I believe this setup has a good chance of success based on the technical analysis , but as always, it's important to monitor the price action closely and adjust the trade if necessary based on new information.
Symbol: #USDJPY
Strategy: #Trend_Reversal #Breakout_Falling_Wedge.
Trade Call Type: #Long.
Indicators: #Price_Action. #Chart_patterns, #Falling Wedge, #Bullish_breakout. #RSI_Bullish_Divergence. #RichTL
Entry: Long when price breaks the falling wedge pattern and retest the support on 1 hour time frame.
Anchor Time: 4 Hours
Trading Time Frame: 1 Hour.
Entry Price: 131.935
Stop Loss: 130.341
Take Profit 1: 133.781
Take Profit 2: 137.805
Risk Reward Ratio TP1: 1: 1.35
TP2: 1: 4.41
Methodology:
As a professional and experienced forex, crypto and stocks trader, I will be using a rigorous methodology that involves analyzing the price action and key levels and using a combination of indicators and chart patterns. I will be looking for potential trendlines, support & resistance levels where the price action may reverse and using our indicators to confirm the validity of our analysis. Based on my analysis, I will then determine the optimal entry and exit points for our trade, as well as the appropriate stop loss level to manage risk.
Analysis:
The current price action on the USD JPY chart is showing a clear Breakout of falling wedge pattern. on 4 hourly timeframe. Additionally, the RSI indicator is showing an bullish divergence from left shoulder on 4 hourluy time frame. Price is struggling on a Daily Support line and RSI on Daily and weekly time frames are not showing and strong signs to break down this support at this moment. I analyses that price may go up on resistance to expand weekly time frame right shoulder’s width and to form a double top before breaking support on current level.
Price action’s this move provides me opportunity to earn some profits on lower time frames; 4 hour and 1 hour when it is providing a great value of RRR.
My Buy Limit entry is planned to execute when price action come down to retest the broken trendline and support zone.
Conclusion:
Based on our analysis, I believe that there is a potential trading opportunity for a LONG trade.
My take profit targets will be further resistance levels on the chart; named R1 and R2. R1 provides us RRR of 1:1.35 and R2 provides us RRR of 1:4.41 which is a good balance between risk and potential profit.
After booking partial profit on R1, I would trail my stop loss to Entry Point.
Overall, I believe this setup has a good chance of success based on the technical analysis , but as always, it's important to monitor the price action closely and adjust the trade if necessary based on new information.
"London-Based Trader | Certified Technical Analyst | Intraday & Scalping Specialist 📈📊 #Forex #Commodities #Indices #Crypto"
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.
"London-Based Trader | Certified Technical Analyst | Intraday & Scalping Specialist 📈📊 #Forex #Commodities #Indices #Crypto"
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.