USDJPY Market Analysis and Trading Strategies.
*Personal Opinion
I use “XMTRADING” as my trading tool.
It is my personal most trusted trading account and is used by many professional traders.
I use “TradingView” as my analysis tool.
Registering an account gives you access to many features for free.
Waveforms of each time leg
Weekly
Downtrend.
Within the range between the recent low and the last swing high, an uptrend has formed on the lower time frames.
The price once rose to the last swing high line but failed to break above it and rebounded.
The outlook remains bearish until the last swing high line is clearly broken to the upside.
Daily
Uptrend.
After falling to around the last swing low line, a range has formed on the lower time frames.
The outlook remains bullish until the last swing low line is clearly broken to the downside.
The price has reached the upper boundary of the recently formed range.
4-Hour
Although only slightly, the candlestick body has broken above the starting line of the sharp drop, shifting the outlook to bullish.
Until the price clearly breaks below the starting line that created the most recent high, the outlook remains bullish.
1-Hour
On the 1-hour chart, the price has risen without a clear pullback, creating a market that can be viewed as either bullish or bearish.
Trade Strategies
Since an uptrend is forming on the short-term chart, I will wait for a pullback and then look for a long entry toward the recent high on the 4-hour chart.
I will watch for price action and chart patterns near the recent high on the 4-hour chart and look for a short entry.
If the price breaks below the endpoint line of the first downward wave (tentative) on the 1-hour chart, I will look for a short entry on the short-term chart.
I will aim for the third upward wave on the 4-hour chart with a long entry.
It is unclear how long the second corrective wave will continue, but I will focus on the previous high line and the last higher low line on the 4-hour chart.
