US Session Trade Setup - EUR/JPY Set to Test a Double Top
|The EUR/JPY has completed the 61.8% Fibonacci retracement at 119.600 and has closed Doji candle above this level. Most of the selling trend in the EUR/JPY triggered after a dramatic selling in Euro on the back of the Coronavirus outbreak in Italy and other European countries.
As per the latest report of coronavirus, the coronavirus hitting all nations across China, such as Croatia, Switzerland, Germany, Spain, and Austria, reporting their first cases of the virus. Italy is a considerable concern as the number of confirmed cases has soared to 322. That's the highest number of coronavirus infections outside Asia. Notably, some EU governments are advising against traveling to infected regions.
|
Support |
Pivot Point |
Resistance |
|
119.79 |
120.29 |
120.67 |
|
119.4 |
121.17 |
|
|
118.52 |
122.05 |
On the 4 hour timeframe, the EUR/JPY is heading north to test the 23.6% Fibonacci resistance level at 120.750. While the bullish crossover above this level can lead the EUR/JPY prices towards 121.400. The RSI is staying in a selling zone right now, which means it's better to look for bearish entries until the market crosses over 121.400 resistance.
EUR/JPY - Trade Plan
Sell Below 120.29
Take Profit 119.79
Stop Loss 120.67
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