USDJPY Yearly Structure: OHLC Analysis and Sell Setup**USDJPY Yearly Structure: OHLC Analysis and Sell Setup**
The USDJPY yearly structure, based on Open, High, Low, Close (OHLC) analysis, has confirmed a sell signal setup on the monthly timeframe. This indicates a bearish outlook for the entire year of 2024. The market is expected to move downwards until it reaches the first take profit level at 147.152.
Key Points to Remember
When trading market structure, it's essential to follow these three key points:
1. **Market Structure (OHLC/OLHC)**
2. **Divergence (Bullish/Bearish)**
3. **TDI Cross (Bullish/Bearish)**
For a valid signal, all three points must align in the same direction. In the case of USDJPY, all indicators point to a sell.
Detailed Analysis
1. **Market Structure**: The current structure is OHLC, which sets the foundation for our analysis.
2. **Divergence**: Bearish divergence started on Monday, October 3, 2022, and continued until the yearly high on Monday, July 1, 2024. This divergence is evident in both candle patterns and the Traders Dynamic Index (TDI).
3. **TDI Cross**: A perfect bearish TDI cross confirms the sell setup. Sellers have entered the market, reinforcing the bearish outlook.
Profit Targets
- **First Take Profit**: The monthly open at 147.152.
- **Second Take Profit**: A further decline to 142.064.
Correlation with Gold
USDJPY and Gold often correlate inversely; when one goes down, the other tends to go up. This inverse relationship should be considered in your trading strategy.
Final Thoughts
Patience is key in trading. Ensure all signals align with the trend. If you found this analysis useful, please like, share, and comment.
