Why I am long usdJpy
Updated
I am long UsdJpy - at 1.1190, since yesterday - I will explain why
It is clear now on the daily chart that the previous lows have been rejected
We see large volume on the initial lows and less volume on another push down towards these lows
This indicates that the market is exhausted bearish, and will turn bullish
We see that in the oscilator indicators - there is bullish divergence
My SL is below previous lows and my first TP is at 38.2% fibonacci retracement of move down
this level has not been reached yet - but - in my opinion - will be broken
There should be some retracement off 38.2% daily fib (maybe back to 23.6%)
I will take out half of my profit at 38.2%, and let the rest ride to 61.8% fib retracement
which is a natural retracement and TP target
It is clear now on the daily chart that the previous lows have been rejected
We see large volume on the initial lows and less volume on another push down towards these lows
This indicates that the market is exhausted bearish, and will turn bullish
We see that in the oscilator indicators - there is bullish divergence
My SL is below previous lows and my first TP is at 38.2% fibonacci retracement of move down
this level has not been reached yet - but - in my opinion - will be broken
There should be some retracement off 38.2% daily fib (maybe back to 23.6%)
I will take out half of my profit at 38.2%, and let the rest ride to 61.8% fib retracement
which is a natural retracement and TP target
Note
Pair looking strong here - bullish engulfing candle today after pullbackNote
Expect first target to be hit soon now - pullback seems over
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