News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Bearish
Oil - US Crude
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Wall Street
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Gold
Bearish
GBP/USD
Mixed
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
USD/JPY
Bearish
More View more
Real Time News
  • What suits your style of trading stocks or commodities? Find out what are the differences in these two markets here: https://t.co/BnA07cMV0s https://t.co/fdigOgkmio
  • A forex trader is strategic, disciplined and always switched on to the markets. Learn how to build an FX mindset here: https://t.co/tB3aAErd70 https://t.co/Ilqz8BWTk0
  • The final ‘full’ week of the year brings about the last wave of significant event risk from around the globe, including three central bank rate decisions (Fed, BOE, & BOJ). Get your market update from @CVecchioFX here:https://t.co/PhqxSPlngI https://t.co/XX57vSjQwV
  • Greed is a natural human emotion that affects individuals to varying degrees. Unfortunately, when viewed in the context of trading, greed has proven to be a hindrance more often than it has assisted traders. Learn how to control greed in trading here: https://t.co/kODPAfJE79 https://t.co/HOvzuOICQx
  • Ever wonder if there are other chart types that can be sued for technical analysis? HLOC charts are discussed in the following article as well as their pros and cons. Learn more here: https://t.co/qV3c7a4YR3 https://t.co/32hYzqhuZ9
  • The Australian Dollar sits on the crossroads of Treasury yields, the S&P 500 and US fiscal stimulus expectations. Will $AUDUSD gains slow? Chinese Q4 GDP and Australian jobs data are due. Get your market update from @ddubrovskyFX here: https://t.co/BsYmmWFYOH https://t.co/HhLqb2iVgk
  • #Gold prices have come under significant pressure to kick-off 2021. However, the formation of bullish technical patterns across multiple timeframes suggests that a rebound higher may be at hand. Get your market update from @DanielGMoss here: https://t.co/Dpf8N4Fh0T https://t.co/pnZpnM9yT5
  • The ISM manufacturing index plays an important role in forex trading, with ISM data influencing currency prices globally. Learn about the importance of the ISM manufacturing index here: https://t.co/Xr3xtoFpZy https://t.co/yCtLFemdNc
  • GBP underpinned as BoE downplays negative rates, alongside vaccine rollout. Get your market update from @JMcQueenFX here: https://t.co/n6V6uw0XV5 https://t.co/Toq2fxSdBE
  • Technical analysis of charts aims to identify patterns and market trends by utilizing differing forms of technical chart types and other chart functions. Learn about the top three technical analysis tools here: https://t.co/KDjIjLdTSk https://t.co/5VzSt5Ak7R
EUR/JPY Technical Analysis: Bull Flag Break Opens Door for Continuation

EUR/JPY Technical Analysis: Bull Flag Break Opens Door for Continuation

2017-06-21 17:03:00
James Stanley, Strategist

To receive James Stanley’s Analysis directly via email, please sign up here.

Talking Points:

In our last article, we looked at EUR/JPY testing longer-term support after the June ECB rate decision. At that rate decision, the European Central Bank echoed a dovish tone which produced a short-term burst of Euro weakness. But buyers showed-up around prior support, and a week later we saw another iteration of support around the 122.50 area, eventually leading to a top-side break of the bull flag formation in EUR/JPY.

EUR/JPY Technical Analysis: Bull Flag Break Opens Door for Continuation

Chart prepared by James Stanley

As we remarked in our prior article, given the potential for a continuation of bullish price action, taken from a combination of EUR/JPY’s adherence to longer-term support structures combined with the fact that the pair shrugged off a series of negative factors without a more pronounced sell-off; and traders can move-forward with a bullish bias on the pair. On the 4-hour chart below, we’re zeroing-in on that support structure that can be found around the psychological level of ¥122.50.

EUR/JPY Technical Analysis: Bull Flag Break Opens Door for Continuation

Chart prepared by James Stanley

For entry protocol: We’re dialing-in on the hourly chart below with a Fibonacci retracement applied to the most recent bullish move, taking the low set last week up to the high set just yesterday. Current price action is finding support at the 23.6% retracement of this move, and for those that want to move-forward in an aggressive manner on EUR/JPY, this could be usable with stops applied below the 123.50 level, as this is the 50% retracement of that most recent major move.

For those that want to move-forward a bit more conservatively, that same 123.50 level could be used to look for deeper support, at which point the door can be opened for bullish reversal plays with stops applied below the prior low of 122.35.

EUR/JPY Technical Analysis: Bull Flag Break Opens Door for Continuation

Chart prepared by James Stanley

--- Written by James Stanley, Strategist for DailyFX.com

To receive James Stanley’s analysis directly via email, please SIGN UP HERE

Contact and follow James on Twitter: @JStanleyFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES