By Connor Ballinger, a member of the Duomo Team supporting our Premium Members. This market was covered in detail in a live stream inside our Members' App. This was a break down for EUR/JPY trade opportunities on 21 July 2020.
This is a recap of a live stream session for Duomo Method members on 21 July 2020 breaking down a EUR/JPY trade from 21 July.
EUR/JPY - 21 July 2020
Initially, the intention was to look for long-term long trades based on the analysis of the higher time frames (weekly and daily). In particular, a break of the daily reversal zone would show the path of resistance was in favour of bullish moves. However, before the break of this level, short trades were also viable, and the market provided a short-term opportunity.
This short trade was based on the attraction of a significant level on the 1-hour time frame and the double confirmation shown below. This trade was intended to be over a short time horizon and only a single leg of the wave due to having a longer-term bullish bias.
Although this trade was unsuccessful, it meant the probability of the longer-term long trade occurring increased. The focus now switched back to looking for long opportunities based on the same 1-hour structure used as the higher time frame analysis for the original short trade.
The full live breakdown of this market and opportunity can be found inside the Duomo Initiative Members' Area.
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