Descending Wedge Continuation Break Possible
AUDJPY has a bit of a descending wedge formed a breakout of which downward could result in a good short opportunity.
If I remember correctly some studies on descending wedges show that bearish continuation breakouts between 60%-85% of the way to the apex of the wedge yeild around a 75% successful trade rate. Don't quote me on those exact numbers though.
Anyway, if we do get a bearish break I'll be getting in with a Sell Stop order as shown to ride this pair down to the channel support (blue line).
If I remember correctly some studies on descending wedges show that bearish continuation breakouts between 60%-85% of the way to the apex of the wedge yeild around a 75% successful trade rate. Don't quote me on those exact numbers though.
Anyway, if we do get a bearish break I'll be getting in with a Sell Stop order as shown to ride this pair down to the channel support (blue line).