With EUR/USD breaking out of channel resistance and reeking havoc on our shorts, this bout of risk trading does offer alternate opportunity over on USD/JPY.
Take a look at the 4 hourly chart below:
USD/JPY 4 Hourly:
As I mentioned above, with resistance on EUR/USD breaking out, we’ve seen USD/JPY’s hold, and markets get back into correctly correlated sync with one another.
You can see the 4 hourly double top forming and price subsequently being rejected from the second touch of the level.
Zoom into the 15 minute chart…
USD/JPY 15 Minute:
…and you can see that price is putting in the familiar stepping down pattern that we like to see intraday.
