Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78.2% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

EURJPY

Trade of the day: long EURJPY > 130.50

Chris Weston
Chris Weston
Head of Research
Apr 26, 2021
A compelling set-up on the EURJPY daily timeframe. The preference is to wait for a daily close through and above the ceiling of 130.50 before entering longs, as this would confirm that the bulls have the impetus to push price higher, and potentially a series of higher high and lows.
dailychart_eurjpy_26042021
Source: TradingView

A compelling set-up on the EURJPY daily timeframe. The preference is to wait for a daily close through and above the ceiling of 130.50 before entering longs, as this would confirm that the bulls have the impetus to push price higher, and potentially a series of higher highs and lows.

We currently see price above the 5-day EMA, and the cloud, so the probability suggests that 130.50 will give way this time around for a move into 1.3150/132.00. We also saw a bullish outside day on Friday, and the low coincided with buyers off the baseline of the i-cloud, which is where some may choose to look at stops – my own personal view is to exit should price close below the 5-day EMA.

Happy to wait for confirmation, but I like what I see here and will trade when the market reveals itself.

Ready to trade?

It's quick and easy to get started. Apply in minutes with our simple application process.

Pepperstone doesn’t represent that the material provided here is accurate, current or complete, and therefore shouldn’t be relied upon as such. The information provided here, whether from a third party or not, isn’t to be considered as a recommendation; or an offer to buy or sell; or the solicitation of an offer to buy or sell any security, financial product or instrument; or to participate in any particular trading strategy. We advise any readers of this content to seek their own advice. Without the approval of Pepperstone, reproduction or redistribution of this information isn’t permitted.