After todays breakout out of the bullish flag (in d1 chart too), we generate a bullish buying opportunity, which follows the general upwards trend of the USD/JPY.
Since we are currently in a lightly overbought market (RSI close to 70) and after many big bullish candles in the last hours, we will be waiting for a small pullback to the level of about 122,85 which gives us support by previous lows and the upper band of the flag. Furthermore this gives us a high Risk Reward Ratio of 2,1!
Target 1 is set at previous highs, you can decide wether to sell a part of your position to realize first profits or going all out for target 2.
One could also enter the long position right now, but this would minimize our Risk Reward Ratio.
Since we are currently in a lightly overbought market (RSI close to 70) and after many big bullish candles in the last hours, we will be waiting for a small pullback to the level of about 122,85 which gives us support by previous lows and the upper band of the flag. Furthermore this gives us a high Risk Reward Ratio of 2,1!
Target 1 is set at previous highs, you can decide wether to sell a part of your position to realize first profits or going all out for target 2.
One could also enter the long position right now, but this would minimize our Risk Reward Ratio.