- April 14, 2022
- Posted by: Tradingshot Articles
- Category: Forex
The EURJPY pair has broken above its Bull Flag this week. That was a pattern coming off the incredible 10% rise since the March 07 bottom that broke above its Bearish Megaphone pattern. The 1D MACD topped and made a Bearish Cross.
The last time we saw the very same set of conditions was during the strong rise of May 2020 that led to the June 2020 Bull Flag. That was in the aftermath of the COVID market crash 2020. This time it another set of strong macro events that led to this rise, the Ukraine – Russia war and inflation. Also in both fractals, a 1D Golden Cross was formed (when the MA50 (blue trend-line) crosses above the 1D MA200 (orange trend-line).
In September 2020, the price action following the Bull Flag topped on the 1.5 Fibonacci extension. This time, the next available Fib extension is the 3.0 at 139.845. We are targeting just below that at $139.00.