Looking to short this pair.
The bear case played out on the USDJPY pair this week. It is now retesting the bottom of the channel.
BEAR CASE
If price rejects from the bottom of the channel, we will see more downside to liquidate stops placed at the areas marked with a dollar bill. This is now the least path of resistance is more likely to happen.
BULL CASE
All hope is not lost for the bulls, if price shoots back up into the channel and find support at the bottom of the channel. However, breaking up the top of the channel will take some time and we think price will continue to range in the channel.
BEAR CASE
If price rejects from the bottom of the channel, we will see more downside to liquidate stops placed at the areas marked with a dollar bill. This is now the least path of resistance is more likely to happen.
BULL CASE
All hope is not lost for the bulls, if price shoots back up into the channel and find support at the bottom of the channel. However, breaking up the top of the channel will take some time and we think price will continue to range in the channel.
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.
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.