EUR/JPY Breakout of the Long Range - Get Ready for a Swing Trade! - FX Leaders News

EUR/JPY Breakout of the Long Range – Get Ready for a Swing Trade!

Posted Thursday, November 22, 2018 by
Arslan Butt • 1 min read

Unsurprisingly, the market is exhibiting a thin trading volume due to Thanksgiving holiday in the United States. But the Japanese pairs are on a move. EUR/JPY has already bounced off an intraday support level of 128.750 and it may offer us an opportunity to capture a long-term trade.

EUR/JPY – Wide Range Breakout

Check out the 2-hour chart – the EUR/JPY is trading in a long range of 128.650-129. It’s likely to have a nice and clear breakout at 129. Let’s break down the technicals supporting the further bullish trend.

– Three white soldiers in the 4-hour timeframe are supporting the bullish bias of investors.
– Yesterday, the daily candle closed outside the previous range, it’s a very first indication of a bullish breakout.
– Stochastic is trading in the buying zone (above 50). It’s signifying a strong bullish trend.

Support Resistance
127.78 128.81
127.38 129.44
126.35 130.47
Key Trading Level: 128.41

EUR/JPY – Trading Plan

We should wait for a slight correction in the pair before entering a buy position. Preferred entry will be near 128.750 with a stop below 128.350 and take profit at 129.450.

Good luck and stay tuned for more updates!

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About the author

Arslan Butt is our Index & Commodity Analyst
Arslan Butt is our Lead Commodities and Indices Analyst. Arslan is a professional market analyst and day trader. He holds an MBA in Behavioral Finance and is working towards his Ph.D. Before joining FX Leaders Arslan served as a senior analyst in a major brokerage firm. Arslan is also an experienced instructor and public speaker.
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