Watching Short Term Yen Pair Set Ups
The yen pairs are on the move again as the Dow Industrial has been moving more within the current, tight range between 8,900 and 8,200. We'll take a look at some 15 minute chart pattern alerts across USD/JPY, EUR/JPY, and GBP/JPY.
The Continuation Rising Wedge alert on the USD/JPY is showing resistance that is setting up just below the 97.00 level (green) and the uptrend line support (blue) that is currently sitting at 96.80. The pattern has a strong underlying trend driving this pattern towards what is a triple top on the 15 minute time frame.
The GBP/JPY Continuation Triangle is setting up very nicely. This usually volatile pair currently is trading with little trend. Quiet cycles in this pair are excellent opportunities to play breakouts and breakdowns and the 15 minute time frame offers less risk. With a low Initial Trend and high Uniformity and Clarity marks, look for the 15 minute GBP/JPY to break out at the 159.48 or break down at 159.08.
Remember that a breakdown would have the support of the 159.00 psychological level to content with for downside follow-through.
The EUR/JPY has alerted a Reversal Channel Up. Typically, a channel up pattern should have a stronger Initial Trend reading, but since one of the three potential trade triggers in any trending pattern is the trend follow, the trend break out, or the trend reversal, there is the chance that the diminishing trend could be setting up the last entry trigger: the reversal. Support is currently the blue uptrend line at 136.04. The more conservative entry short however would be to wait for both the support to break and the 136.00 level. If the uptrend strengthens over the course of the morning, look for a bounce off the blue uptrend line or a breakout through the green resistance.
The Continuation Rising Wedge alert on the USD/JPY is showing resistance that is setting up just below the 97.00 level (green) and the uptrend line support (blue) that is currently sitting at 96.80. The pattern has a strong underlying trend driving this pattern towards what is a triple top on the 15 minute time frame.
The GBP/JPY Continuation Triangle is setting up very nicely. This usually volatile pair currently is trading with little trend. Quiet cycles in this pair are excellent opportunities to play breakouts and breakdowns and the 15 minute time frame offers less risk. With a low Initial Trend and high Uniformity and Clarity marks, look for the 15 minute GBP/JPY to break out at the 159.48 or break down at 159.08.
Remember that a breakdown would have the support of the 159.00 psychological level to content with for downside follow-through.
The EUR/JPY has alerted a Reversal Channel Up. Typically, a channel up pattern should have a stronger Initial Trend reading, but since one of the three potential trade triggers in any trending pattern is the trend follow, the trend break out, or the trend reversal, there is the chance that the diminishing trend could be setting up the last entry trigger: the reversal. Support is currently the blue uptrend line at 136.04. The more conservative entry short however would be to wait for both the support to break and the 136.00 level. If the uptrend strengthens over the course of the morning, look for a bounce off the blue uptrend line or a breakout through the green resistance.
- 1 July |
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