Direct from the desk of Dane Williams.
After USD/JPY hit daily support last week, we got a nice bounce back up.
Here's the daily chart from last week's blog that I've linked to above.
USD/JPY Daily:
With price above higher time frame support, our strategy says that we should only be looking to trade the pair from the long side.
So we zoom into an intraday chart such as the hourly below, and look for an entry.
This one is actually pretty clean.
You can see price bounced out of the higher time frame support zone, then printed an hourly bearish candle. This is our intraday area of short term resistance that we use as an entry when price retests it.
The retest came and a new high was made with price never looking back.
You can then see that price once again formed an area of short term resistance before making a new high. This intraday zone was also retested cleanly for a second entry if you wanted to add into your winning position.
These are the sorts of clean bounces with trending price action that I dream of.
Best of probabilities to you,
Dane.
FOREX BROKR | LeoFinance Blog
Daily market analysis.