Rushi asked me to analyze 4h CADJPY. I switched to 1D because:
- It did take much time to begin answering
- 1D TF is telling more clear and important story.
I noted the key signs on chart. As you can read from the chart, we have:
- zone of strength formed in August around 79.5
- signs of weakness above 82.5
Currently, bulls are trying to push price higher with EVRB 20/Nov at the level of SFDB 81.50. This is reasonable setup, but as for me, we have too much fresh weakness overhead. Price is moving in the middle between 2 orange lines. Here market is vulnerable to print counter-minding messages. Yes, we have bullish arguments on this chart. However I do not believe they will lead to a strong rally.
Yes, You Can Become a Professional Chart Reader
To build success in any business, you should rely on things that really work.
In Chart Reading Method, they are three: The Law of Inequality, The Law of Supply & Demand, The Law of Effort & Result.
Download free books, to understand how can you apply the Laws and convert charts into profitable setups daily!
Enter your email to Download books
No spam is guaranteed.