€EUR/¥JPY Interactive Trading

[Skydaemon]

Is it normal for currencies to run on a 400 pip intraday tear like that?

Is this something to think about betting against or is this just how newbies get killed?

[ForexWolf]

Originally Posted by Skydaemon

Is it normal for currencies to run on a 400 pip intraday tear like that?

Is this something to think about betting against or is this just how newbies get killed?

Yup...Some currencies do that..some do it regularly..some "can" do it but need a reason..others just need someone to sneeze... :D

As I noted in another answer--gotta learn the pairs you plan to trade--its not a matter of picking a random currency and trading it--thats how newbies get killed. Learn how/when/why they react, their volitility potential and influences.. Its not unlike studying your "prey" or how a surfer looks to analyze which wave is "thiers" and which wave they avoid and which beach is active and which is not...

FXW

[ForexWolf]

Just a note about the EUR/JPY pair... seems to be reaching a critical area to be watchful for right now. This pair is reaching a potential turning point right now IMO....as its been in a whippy declining trend on the daily for several months since October making lower highs. To me it appears to be turning sideways in the last few weeks bouncing between 152.75 area and 161.40 area...

The EUR/JPY pair is currently at 161.30 area--and it is noteworth that it has twice fallen hard on the Daily from this 161.40 area in the past--its been in a range, bound by this upper resistance... Its either gonna make a great short play down to 158.00 from here...or it will bust thru the top and visit the 165-00s - 167.00's again. Some folks from articles I have read think and believe its already broken the downtrend line on the Daily by breaking up beyond 159.50 and is turning to the upside.... That is possible...but where I am looking at the sideways movement it seems to have been forming instead and is ranging. Its all a matter of opinion on how you read the chart... Biggest thought tho is I don't see a news catalyst or drive to push it thru the top resistance anytime soon...yet... The MACD and indicators are at a similar point in the middle just from before where it could go either direction... I am in favor of the upside break move myself....just not for the reason of having broken 159.50....I want to see it break 162.50 to be a bit more confident...

If you look at the MACD histogram and the declining lower highs in the candles on the Daily and Weekly chart---there is a slight divergence forming which indicates a move to the upside...yet the opposite is indicating slightly on the Monthly chart for higher lows in the histogram, tho the MACD is bouncing from the bottom. Will it occur--yes something is gearing up to happen soon...but its difficult to say which direction for sure--but a move one way or another for a new trend or continuation to form by the Summer IMO should be on the table right now to watch for as the pivot point..

So IMO--folks should put the EUR/JPY onto their watch list..a few traders I know are already playing it and watching it too...and I have turned my view from the GBP/JPY to the Euro again as well because of this. April, from my observations & trades of years past, often is the time when you see new trends form or ranges break out--its a drive momentum that carry the tones and price areas for moves into the Fall months.. April-May is one of my most favorite times of the year for big trades on big moves....and I expect it will be so again this year...

Trade Safe and Trade Smart...

FXW

[herryjohn]

do it better

[greencat]

Forex Update EUR/JPY

We have a head and shoulder pattern developing. This is a bearish pattern.

Forex Chart EUR/JPY

[greencat]

EUR/JPY: As High As 115.25/30 Into The Tokyo Lunch] Tokyo, January 26.

EUR/JPY continued to move higher in late Tokyo morning trading, having recovered all of the losses seen earlier. The cross was as low as 113.75/80 before reverting higher. At 115.21/25 at writing, it is just off the 115.25/30 high seen a short while ago. The Nikkei, though not surging higher, is in positive territory today having closed out morning TSE trading at 7756.97, up 11.72 points on the day. The range so far has been a relatively narrow 7675.81- 7777.68. Most of Asia is closed for the Lunar New Year and Australia for Australia Day. Trading has been extremely thin.

Technically, EUR/JPY has reverted back into its hourly Ichimoku cloud between 114.63-115.47 currently. A break above the top and 100-hour moving average at 115.62 just above targets the 117.10-20 region, 117.10 the Ichimoku tenkan line on the daily chart and 117.18 the 200-hour moving average. Some resistance is seen ahead of 116.00, 115.95 the high in New York on Friday. Support looks to be building sub-114.00 now and then ahead of 112.50, ahead of 113.00, 113.15 the low in New York, and then at 112.52 the low in London Friday.