Let's talk about the trading idea for the USD/JPY currency pair.
Sellers finally made it clear that the level of 115.00 is fundamental for them after the instrument tried to reach it for the second time:
Following the celebration of Thanksgiving in the United States, the instrument fell steeply throughout the Asian and part of the European session.
The collapse stopped only near the level of 113.6, which is now a support.
We suggest hunting for buyers' stops under this level according to the following scheme:
In fact, we have a three-wave structure of "ABC", where today's short initiative acts as wave A.
Short positions with a pullback of 50% and 61.8 by Fibo from 114.4 and 114.6 levels should be considered based on the pattern above.
Risks to limit can be noted at the level of 115.3, while profit to fix at the breakdown of 113.6
The trading idea is presented within the framework of the "Price Action" and "Stop Hunting" methods.
