Here’s my trading idea for the USDJPY that I entered on Friday 3rd November 2017.

**** Order was closed at breakeven ***

Please remember I’m learning, so this is definitely not a recommendation you should do the same.

Currently sat on weekly support and weekly downward trendline after testing repeatedly, which can be seen on the D1. Potentially this is forming D leg of a Butterfly pattern. Weekly close bullish.

USDJPY Pennant Daily


Drilling down to the H4 shows a reverse head and shoulders inside a pennant / ascending triangle at the horizontal weekly resistance. H4 shows a Crab pattern based around the H & S pattern. Repeated rejection of the daily trendline. Looking for H4 bullish close above 114.443 level to show commitment to the upside.

USDJPY Reverse head and shoulders H4

Targets set at T1 115.369, follwed by a pullback to test support at 114.433 (38.2% fib) then onto T2 at 116.

Potential problems showing bearish:

  • At a strong Weekly downward trendline (only tested once)
  • Daily close was spinning to after hammer.

UPDATE:

*** Order was closed at breakeven ***

I believe the situation has changed after the spike up. I'm seeing a change to a sell setup. Waiting to see what happens.

USDJPY H&S Short 1 Hour