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  • Opinions - Not Facts

    This blog consists of contributions from FXCM staff, executives and people that have a relationship with FXCM. In spirit of a blog, the posts are conversational and opinionated. However, they are not official FXCM policy and not double-checked for facts. The authors are providing information that they believe to be true or opinions they hold. To verify information or check official FXCM policy, please contact FXCM through the firm's official website, www.fxcm.com.

    • « DailyFX Forex Radio - Dollar hits 26 year lows against Pound | Home | Trading At the Speed of Pips »

    Reversal Action…Watch Out Below!

    By Eliseo Agas | July 13, 2007

    I love reversal patterns!

    For me these work like a charm and I like the odds. USDJPY is showing me the kind of price action I look for that has bearish implications. Once you start to see buyers unable to push new highs and sellers actually violating recent lows (support) this is a red flag for a potential reversal to the downside. Once you see action like this you have to be wondering where did all the buyers go? Possibly they’re taking a break or it’s possible they’ve headed for the exits and waiting to get back in at better levels. Whatever the reason is it doesn’t really matter…the point is that they weren’t buying at a recent support level (122.40 area).

    If selling comes in hard, potential retest of the most recent swing low is possible.

     usdjpy-0713.gif


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    Topics: Better Use Charts - Use Charts Better |

    2 Responses to “Reversal Action…Watch Out Below!”

    1. USDJPY Revisited | Forex Trading Blog Says:
      July 17th, 2007 at 8:03 am

      […] don’t like my previous short USDJPY idea any […]

    2. Better Use Charts - Use Charts Better » Blog Archive » USDJPY Revisited Says:
      August 16th, 2007 at 1:53 pm

      […] don’t like my previous short USDJPY idea any more.Monday action came up short, no pun intended, on my expectations. We get a spinning top […]

    Comments