Hello everyone! Back on October 31, 2016 I sent out a market commentary setup for the USDJPY. Now it is time to share the results of this long term trade which brought in a strong 1,000+ pip gain!
Below is the chart that the setup was shown on with the following thoughts:
It is currently in what appears to be a triple bottom. If price breaks above the MN1 resistance, then we should see a Trend Reversal.
If price breaks below the W1 support, then we may see a continuation of price.
Here are my thoughts:
Long entry if we see a break to the upside of 106.892
Short entry if we see a break to the downside of 100.190
So, where will price go once we see a break?
Upon a break of the two levels provided, we may see the following price movement:
Long – 109.572752, 111.75711, 113.74289
Short – 98.410
If you take a look at the chart below, we see that price broke to the downside of 0.748844, which was the W1 support level and short entry. Once it broke in the beginning of November, the trade continued to TP levels 1 and 2 over the next month.
This was from a simple consolidated triangle setup taught in our Pure Price Action series. Learning and utilizing these solid trade setups can really improve your trading results and take away the stress of short term trades that keep you monitoring charts all day. If you are not a Slick Trade member, feel free to check out our price action series for patterns with 3 free video lessons.
I look forward to our next market commentary release and have a great one everyone!
Cheers to success and see you all in the room!