USDJPY | Perspective for the new week

14 февр. 2021 г.

My last publication (see link below for reference purposes) on this pair saw price move against expectations as it continues to find Higher Highs. From a weekly perspective, the successful Breakout of Y104.150 confirms the completion of a Reversal pattern with confidence that supports a Bullish bias in the coming week(s).

Tendency: Uptrend ( Bullish )
Structure: Trendline | Breakout | Supply & Demand | Harmonic pattern (AB = CD)
Observation: i. Since the Breakout of Y104.150, I am of the opinion that the correction phase is yet to complete hence patience is required at this juncture.
ii. In this regard, I suspect that the correction phase might evolve into a Harmonic pattern (AB = CD) before the rally begins.
iii. The line drawn under pivot lows ( Pivot I, II & III) explains and graphically represent the prevailing direction of price (Uptrend).
iv. It is very possible that we might experience a temporary Breakdown of this Trendline due to the Harmonic expectations in anticipation of the rally.
iv. The significant Breakout of Key level confirms that the Supply Level no longer holds as the sharp rejection of Y104.400 on the 10th of Feb. 2021 suggest we might be having a new level for Demand @ Y104.400/103.800.
v. Should price decides not to decline into the Demand zone in the coming week(s), a significant Breakout/Retest of Y105.100 could be a buying window to take advantage of.
Trading plan: BUY confirmation with a minimum potential profit of 200 pips.
Risk/Reward: 1:4
Potential Duration: 7 to 12days

NB: This speculation can be considered to make decisions on lower timeframes.

Watch this space for updates as price action is been monitored.


Risk Disclaimer:
Margin trading in the foreign exchange market (including foreign exchange trading, CFDs, etc.) has a high risk and is not suitable for all investors. The content of this speculation (including all data) is organized and published by me for the sole purpose of education and assistance in making independent investment decisions. All information herein is for your reference only and I take no responsibility.
You are hereby advised to carefully consider your investment experience, financial situation, investment objective, risk tolerance level, and consult your independent financial adviser as to the suitability of your situation prior to making any investment.
I do not guarantee its accuracy and is not liable for any loss or damage which may result directly or indirectly from such content or the receipt of any instruction or notification therewith.
Past performance is not necessarily indicative of future results.