USDJPY Inverse Head and Shoulders Pattern
Pattern /Reason: Inverse Head And Shoulders Pattern
Description: Pair broke the neckline of the I SHS pattern. It is likely to retest the broken structure 108.200- 108.300. We plan to use this pullback as a buying opportunity
Time Frame: H4
Accuracy of the Pattern: 72 %
Setup No: USJP070701
Recommended Lot: 0.20
Trade Period: Intraday / Medium Term
Stop Loss: Below 108.000( Structural Stop 107.500)
TP1: 108.750 / reached
TP 3:109.230 ( We have an emerging Bearish Butterfly Pattern at this level. I will update later. )
Divergence/ Convergence Confirmation: Nothing Particular
Candle Pattern Confirmation:
Moving Average Confirmation: Price is above SMA100 (108.000) and EMA50 (108.020)
The trend of the Timeframe: Bullish
The trend in the Daily Chart: Bearish
- If the trade it makes closing above 108.600, you may add long positions. ( Added )
Update: TP1 Reached
Warning and Things to Pay Attention:
- Harmonic Patterns are reversal patterns and mostly against the main trend on the chart they appear.
- Target levels are determined by MM Calculation as the pattern has not been completed yet. They may vary 3-5 pips according to the completion level of the predicted patterns.
- Pay attention to Time Frame, Trade Period and Estimated Completion Time, Accuracy and Recommended Lot Size clauses mentioned below.
- Do not risk more than 2% in one trade setup.
- We usually book partial profit at the first target and move our stop loss to entry or break-even level. Use your own risk/profit management to exit the trade.
- We are publishing potential opportunities. There are no certainties and traders bets on possibilities. Read the setup carefully before entering a trade and take your own decision.