Technical Analysis – EURJPY Forecast

2
264
Technical Analysis - EURJPY Forecast

Hi Traders! Today I share with you the EURJPY forecast and technical analysis post. We do our analysis on the MetaTrader4 platform (MT4). Some very interesting and useful tips and hacks about the MT4 platform could be found here. As we do in every technical post we are going to perform the multi-time frame analysis on this pair in order to find the possible trading opportunities. Lets start our analysis now from the daily chart.

If you would like to learn more about the way we trade and the technical analysis we use then check out the Traders Academy Club. Spoiler alert – free memberships are available!

Top #3 Trading Advice That Will Improve Your Profit Instantly!

 

EURJPY D1(Daily) Chart Analysis – Bullish Trend Pattern, Bullish Divergence, Downtrend Line Breakout

On the daily chart we have a bullish trend pattern that has formed and then we had a retrace in the form of double wave down. We also had a bullish divergence that has formed between the first low at 119.770 and the second low at 118.455 which we may consider as an evidence of bullish pressure. Currently we have got a most recent down trendline breakout and also in addition to this the ADX indicator gave a bullish signal at the cross of +DI (green line) versus -DI (red line) and the main signal line (silver line) reads value over 25. So everything looks good here for the bulls, we may now move down to one timeframe lower and see if we have evidences supporting this bullish view.
Technical Analysis - EURJPY Forecast

 

EURJPY H4 (4 Hours) Chart Analysis – Bullish Convergence, Heiken Ashi Candles

Looking at the H4 chart we can see that the price has created a bullish divergence based on the MACD indicator and then the price moved higher creating higher highs, thus forming a classical setup of bullish divergence followed by bullish convergence. Hence as per the book scenario we may now look for corrections to happen and then possible continuation to the upside. So the bottom line here is that the H4 chart has evidences supporting this bullish view.

Technical Analysis - EURJPY Forecast

Also based on the Heikin Ashi candles we can see that currently we have strong bullish bodies in upward moving market conditions so it basically reflects a bullish environment, so until the condition changes my view remains bullish here.

Technical Analysis - EURJPY Forecast

 

Technical Analysis & Forecast Summary

EURJPY D1(Daily) Chart Analysis

  • Bullish Trend Pattern, Bullish Divergence, Downtrend Line Breakout

EURJPY H4 (4 Hours) Chart Analysis

  • Bullish Convergence, Heiken Ashi Candles

 

Trading Tips

It is always recommended to look for confirmations before you jump into any trade. If you are not sure about how to trade this short term buy setup then you can use any setup and strategy that you have in your arsenal to look for bullish moves and join this buy trade.

Also don’t forget to protect your buy trade using a stop loss and make sure to set a target and keep a proper risk/reward ratio.

You will also find a pretty extensive database of educational materials here in the blog – just use the search or check out the Forex Education section above.

Not sure how to enter a trade? Spot reversals (bounces)? Not sure how to spot breakouts?

I invite you to join me in my live trading rooms, on daily basis, and improve your trading with us.

Join Traders Academy Club Now

Also you can get one of my strategies free of charge. You will find all the details here

 

If you have any further questions, don’t hesitate to drop a comment below!

 

Happy Trading!

Yordan Kuzmanov
Chief Trader at the Traders Academy Club

Click To Join Our Community Telegram Group

2
Leave a Reply

avatar
2 Comment threads
0 Thread replies
0 Followers
 
Most reacted comment
Hottest comment thread
2 Comment authors
Colinkavegood Recent comment authors
  Subscribe  
newest oldest most voted
Notify of
Colin
Guest
Colin

Thank you for the tech analaysis on EURJPY

0
kavegood
Guest
kavegood

thank you yordan i appreciate you and follow you and your article

0