USDJPY Shorts from 147.000 down to 140.000
My breakdown for USDJPY this week involves sustaining its temporary bearish trend. Currently, the price has shown a bullish reaction at our identified Point of Interest (POI), resulting in a pullback to tap into a Daily supply zone above. Following this, our strategy involves anticipating a redistribution on lower time frames to facilitate selling opportunities, targeting the equal lows.
Considering the impact of NFP Friday on our demand, we await the formation of a correction to prolong the downward trend. In case the price opts for breaching equal lows first, our plan involves waiting for entry at the 7-hour demand zone, presenting an opportunity to buy at a more favorable price.
Confluences for USDJPY Sells are as follows:
- Price retraced from a 2-day demand and now slowly approaching a daily level of supply zone.
- Supply Zone is on the daily time frame that has also caused a Break of structure to the downside.
- Lots of liquidity to the downside in the form of equal lows, and major trendlines.
- Price needs to fill the imbalance as well which has been left from the supply zone.
- The dollar is also expected to be bearish so this pair is also projected to move in a similar way.
P.S. Since the price on the higher time frame couldn't surpass the all-time highs and experienced a significant sell-off, my expectation is that the price may continue its decline to target substantial liquidity below. Consequently, I am inclined to seek pro-trend trading opportunities to prolong this downward movement, aiming for the 140.000 mark.
Considering the impact of NFP Friday on our demand, we await the formation of a correction to prolong the downward trend. In case the price opts for breaching equal lows first, our plan involves waiting for entry at the 7-hour demand zone, presenting an opportunity to buy at a more favorable price.
Confluences for USDJPY Sells are as follows:
- Price retraced from a 2-day demand and now slowly approaching a daily level of supply zone.
- Supply Zone is on the daily time frame that has also caused a Break of structure to the downside.
- Lots of liquidity to the downside in the form of equal lows, and major trendlines.
- Price needs to fill the imbalance as well which has been left from the supply zone.
- The dollar is also expected to be bearish so this pair is also projected to move in a similar way.
P.S. Since the price on the higher time frame couldn't surpass the all-time highs and experienced a significant sell-off, my expectation is that the price may continue its decline to target substantial liquidity below. Consequently, I am inclined to seek pro-trend trading opportunities to prolong this downward movement, aiming for the 140.000 mark.
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