USD/JPY weekly look
Thought I would do a fairly quick update on my current opinion on the market, just focusing on the USD/JPY market for the time being.
I drew a couple of horizontals a while ago, looking at where I believed the market would find resistance and potentially bounce and if not, where it would continue down to.
I felt short-term, looking at the 3hourly chart the 110.755 was going to offer better resistance considering at the touch point the RSI was oversold. But it looks like the pull back was further than expected, we can see from the RSI that ts is oversold, currently sitting at 27, but because of this not being hugely out the range and the fact the next resistance is looking at the 110.101 I do believe we might see further falling.
Yet a contrasting point is that the Bollinger Bands show the candle falling below the lower band and of course this typically results in some kind of rebound depending on the magnitude of volume change over the next period.
I wouldn't be looking to enter until we see either a leveling of the RSI, yet still within the lower bounds or if it falls further and bounces off the 110.101 level.
Hopefully, I will be uploading more in the next few weeks but who knows, and all of this is just my opinion and could be completely wrong so don't go entering leveraged positions or anything with this!
Peace.
The Naive Trader.
TradingView.com, 2018.
I drew a couple of horizontals a while ago, looking at where I believed the market would find resistance and potentially bounce and if not, where it would continue down to.
I felt short-term, looking at the 3hourly chart the 110.755 was going to offer better resistance considering at the touch point the RSI was oversold. But it looks like the pull back was further than expected, we can see from the RSI that ts is oversold, currently sitting at 27, but because of this not being hugely out the range and the fact the next resistance is looking at the 110.101 I do believe we might see further falling.
Yet a contrasting point is that the Bollinger Bands show the candle falling below the lower band and of course this typically results in some kind of rebound depending on the magnitude of volume change over the next period.
I wouldn't be looking to enter until we see either a leveling of the RSI, yet still within the lower bounds or if it falls further and bounces off the 110.101 level.
Hopefully, I will be uploading more in the next few weeks but who knows, and all of this is just my opinion and could be completely wrong so don't go entering leveraged positions or anything with this!
Peace.
The Naive Trader.
TradingView.com, 2018.
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