Here we have EURJPY hitting a very major Support line. How major?
2010 High
2012 Low
And now we have finally come back to test it in 2016. Of course the EU Referendum is having a Major impact on this pair, hence its continuous decline in the coming months. But I believe that history will have an impact on this pair and it will climb its way back up to Oct 2015 lows very gradually. The pair seems to have been exhausted from a -28c drop and then a -38c drop which is quite sharp for a few months.
This trade is more for swing traders who are wiling to leave it in trade for a few months.
Im planning to hold it for a while, with trailing stop losses. For more conservative day traders I suggest trading on breakouts of the trend lines.
As always the markets dictates its own future and a break below the Support line could indicate a further plunge!!
Also please be aware that I have used an Angle Trend Line which may move its place and be out of position if you move the chart. To fix this move the chart slightly until the trend lines line up with the top of the candle bars.
2010 High
2012 Low
And now we have finally come back to test it in 2016. Of course the EU Referendum is having a Major impact on this pair, hence its continuous decline in the coming months. But I believe that history will have an impact on this pair and it will climb its way back up to Oct 2015 lows very gradually. The pair seems to have been exhausted from a -28c drop and then a -38c drop which is quite sharp for a few months.
This trade is more for swing traders who are wiling to leave it in trade for a few months.
Im planning to hold it for a while, with trailing stop losses. For more conservative day traders I suggest trading on breakouts of the trend lines.
As always the markets dictates its own future and a break below the Support line could indicate a further plunge!!
Also please be aware that I have used an Angle Trend Line which may move its place and be out of position if you move the chart. To fix this move the chart slightly until the trend lines line up with the top of the candle bars.