Log in

A downward reversal

10 May 2016, USD/JPY

Daily chart: equally probable scenarios. From important resistance 108.77 (middle Bollinger band) the price may grow to the upper band (111.97. see the blue arrow), and a new decline to 105.51 (the bottom band, see the red arrow).

Н4: on the local levels bulls remain their potential, so we need to be attentive to Long-signals at the middle Bollinger band (107.54), which is now represents the support and the possible area of ​​demand in the dollar.

Н1: clear signs of a coming downward reversal: bearish divergence and the inside bar at the upper Bollinger band. We expect an immediate move to 108.46 followed by a move to 107.99. From there the price will probably roll back to 108.46, where the mid-term point of sales will be.

Expectations: we expect a fall to 108.00, then a pullback to 108.46, whereupon the pair will turn down to 107.54

Trading solutions: sell first to 108.00, then re-sell from 108.46 to 107.54

Aleksey Panasenko
Analyst of «FreshForex» company
See also:
Agree with the review?
Traders' opinion:

Do you have any suggestions to make our website better? Have you noticed an error on the site? Tell us

Tell us

Your browser does not support cookie. If cookie is disabled in your Internet browser, you may have problems with rendering Personal area. How to enable cookie support.