EUR/JPY:
Date: 27 January, 2017
H4 Graph: Medium term long trend
Price made a topping formation between in the zone of 121.000 - 124.00. Price started going down, but it came back several times to test that level and those highs, but in the process of doing so, it created a several lower highs. Now the price is at the high again for the 4th time and possibly the last try and lower prices from here. 50 ЕМА is below the 200 ЕМА. Bearish divergence of the DeMarker indicator from the previous high. Price remains below horizontal and diagonal resistance.
Price Action: Lower highs and lower lows - Possible signal for short
DEM - In overbought zone
Alternative Scenario: If the price continue going up and breaks up above the horizontal and diagonal resistances, this will cancel the bearish view, but it may give us a signal for long position, only after break and retest of the break.
Price for Entry short around: 123.150
SL: 123.650
Trader - S. Fuchedzhiev
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