Took a hit on EURJPY after a big drop down.

EURJPY is in a bearish trend since the YEN started to gain strength. On H4, we see the bearish trend leading to lower lows and lower highs. Technically, we analyse the market heading back to the resistance level to form another double top. After the bearish price action is confirmed, we will take the short position from either the resistance or after waiting for the bearish price action to be formed.

The ascending trendline is in formation and has the possibility to be broken out for sells. Once sells are induced, the validation of candlesticks will confirm it further.

The retracement level of 61.8% is in confluence with the resistance level. This confluence should act as another catalyst for the market to drop down.

EMA 50 has turned bearish with a steep downward sloping curve. This means, the current bearish pressure is really strong.

RSI is at 35. This indicates that the market is bearish. We should wait for the market to hop towards the 50 level of neautralization. This will be the point where our other technical factors will be in confluence for the short.

Slight SL's on EURJPY

Nov 24 2022