USD/JPY Bearish Gartley Pattern
Unfortunately my trade got stopped out last Tuesday when
price shot up some 36 hours prior to the FOMC meeting,
luckily I didnt go long sensing that this was only an impulse
prior to the upcoming events. Nonetheless, it does seem as
though USD/JPY is back on track to complete the bearish
Gartley pattern. As I mentioned in my previous analysis of
USD/JPY on the weekly time frame, the key level in going
forward this week will be the 110.28 level, which on the
daily time frame is just above the 61.8% retracement
level measured from 108.11 to 113.18.
If you look closely you will see the 200SMA sloping slightly
downwards at the 110.05 level, this is alarming if you
want this pair to remain bullish, but great for those
shorting this pair. It does not invariably mean bearish
momentum is guaranteed but it also does not indicate
bullish momentum.
Trade short 1 (RvR ratio 2:1)
Entry: Close below 111.20
S/L: 112.75
T/P 1: 110.05
T/P 2: 108.11
Trade short 2 (RvR ratio 2:1)
Entry: Close below 108.11
S/L: 109.85
T/P 3: 104.63
As always, scale out your profits and adjust stop/loss to
suit your personal risk management profile.
Happy trading
Unfortunately my trade got stopped out last Tuesday when
price shot up some 36 hours prior to the FOMC meeting,
luckily I didnt go long sensing that this was only an impulse
prior to the upcoming events. Nonetheless, it does seem as
though USD/JPY is back on track to complete the bearish
Gartley pattern. As I mentioned in my previous analysis of
USD/JPY on the weekly time frame, the key level in going
forward this week will be the 110.28 level, which on the
daily time frame is just above the 61.8% retracement
level measured from 108.11 to 113.18.
If you look closely you will see the 200SMA sloping slightly
downwards at the 110.05 level, this is alarming if you
want this pair to remain bullish, but great for those
shorting this pair. It does not invariably mean bearish
momentum is guaranteed but it also does not indicate
bullish momentum.
Trade short 1 (RvR ratio 2:1)
Entry: Close below 111.20
S/L: 112.75
T/P 1: 110.05
T/P 2: 108.11
Trade short 2 (RvR ratio 2:1)
Entry: Close below 108.11
S/L: 109.85
T/P 3: 104.63
As always, scale out your profits and adjust stop/loss to
suit your personal risk management profile.
Happy trading