The rising YEN, or falling ?

Good Evening / Morning Dynamic Traders

"Better to have tried and failed, than not tried at all"

Cross = JPY : 60min Chart (Posted Below)

Did you go with the trend or did you decide to go against it ?

Price did initially go down but started to recover from 0400hrs GMT and rallied to 175 pips to the upside.

On looking at the 60min chart you can see after the large correction in price. it is now consolidating, or having a breather before the next big move ? You can see that price is and will be squeezed until we get the next BOB.

The higher trend is still down and you will note the horizontal resistance line is proving price difficult to deal with. This line has come from the day chart of yesterday and is the top resistance line of the trend.

On checking MACD as shown, we find a dramatic fall on the histogram from the recent high and checking the support of current price an obvious Divergence. MACD has also crossed beneath the signal line, indicating weakness to price.

With this in mind, a move down within the flag is likely and a possible BOB to the bottom is favoured due to the high time frame downward trend.

Make sure you use the ESLT to enter the trade after the BOB and do your own analysis before entering a trade.
















Courtesy of Advanced Get / E Signal

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Trade with Passion
John Maher
Forex Analyst