Possible trend shift in EURJPY – going long

Possible trend shift in EURJPY – going long for FOREXCOM:EURJPY by FXCM

Possible trend shift in EURJPY – going long

Euro / Japanese Yen FOREXCOM:EURJPY

Signal ID: 75657
Time Issued: Tuesday, 06 April 2021 21:00:15 GMT
Status: open
Entry: 151.424 – 151.86
Limit: N/A
Stop Loss: 150.768

The Congestion Opportunities Strategy has just bought GBPJPY at 151.642. The system recommends entering this trade at any price between 151.424 and 151.86. The signal was issued because the 28-hour Relative Strength Index indicates that the GBPJPY may be overbought, while the Speculative Sentiment Index reading of -1.076 indicates that trader sentiment is not at extremes.The 14-period Average True Range on a daily chart is 0.874, so the stop loss has been set at 150.768. This stop loss order is a trailing stop that will move up as the market moves up. There is no profit target for this strategy. We expect to be closed by the stop loss.Congestion Opportunities is a range trading strategy that aims to sell overbought currency pairs and to buy oversold currency pairs. The strategy will only trade when the Speculative Sentiment Index for that currency pair is between -1.5 and +1.5. Limiting range trading in this way has shown in the past to significantly raise the probability of successful range trades.

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