Daily-EURJPY right below major resistance, prepare to sell on the break of support!
Published on: January 19, 2018
Sell below 136.09. Stop loss at 136.38. Take profit at 134.84.
Reason for the trading strategy (technically):
Price is testing major resistance below 136.09 (Fibonacci retracement, Fibonacci extension, horizontal swing high resistance, bearish divergence) and a drop could soon occur at this level. Our conviction for a drop would be greatly increased once our ascending support line is broken.
Stochastic (34,5,3) sees major resistance below 95% and also strong bearish divergence vs price signals that a reversal is impending.