Good morning traders! Today we will do a multi-timeframe analysis on EUR/JPY, as it is in an interesting zone, and there may be a bullish opportunity in the short term.
🔸As we can see, the price is bouncing off a support zone. The two daily candles that we can see tell us about strong buying pressure.
🔸Although the trend line was broken to the downside, the uptrend is still in force since no rising low of it has been broken yet.
🔸What we will wait to confirm our vision in this direction is the following:
This is the 4H chart.
🔸The main idea is to wait for a break in the short-term trend line and then a corrective move, which can be a flag pattern, pennant, triangle, etc.
🔸Then, we will look for a bullish breakout and a move in that direction towards the main trend line of the correction (that is the first bullish target).
🔸As we can see, the price is bouncing off a support zone. The two daily candles that we can see tell us about strong buying pressure.
🔸Although the trend line was broken to the downside, the uptrend is still in force since no rising low of it has been broken yet.
🔸What we will wait to confirm our vision in this direction is the following:
This is the 4H chart.
🔸The main idea is to wait for a break in the short-term trend line and then a corrective move, which can be a flag pattern, pennant, triangle, etc.
🔸Then, we will look for a bullish breakout and a move in that direction towards the main trend line of the correction (that is the first bullish target).