AUDJPY Ready To "Drop A Shoulder"? Multi-Timeframe May Help!

前天

is beginning to form a very convincingly strong Reversal Pattern, the Head & Shoulders!

Starting with the Daily Chart we can see that Price is Forming a Doji Candle just after trying to Breakout of a Major Resistance Zone created from the Highs of March 18th and if Price is unable to close above this level, this strengthens the Bearish and Reversal Bias.

Now the 4 Hr Chart shows both the "First Shoulder" or Previous Higher High that was surpassed by the "Head" which is the New Higher High, has formed quite quickly with a slightly Ascending "Neckline" or Support Line where Bulls were able to make their Last Stand.

With a Reversal Pattern, you want to see a Change in Trend, in this case, would be a Lower High then that of the Higher High or "Head" @ 96.204.
*If Bulls are able to Push Price above the "Left Shoulder" or Previous Higher High @ 95.952, this will Invalidate the Head & Shoulders Set-up!

**If Bulls are unable to Break Above 95.952 and Price is pushed back down to the Confirmation or "Neckline" for a 3rd time, this Confirms the Head & Shoulders Set-up!!

Based on the Distance between the Head and Neckline, we can project a potential drop down to the next Support Level as a Price Target @ 95.00 once:

1) Pattern is Confirmed
2) Breakout is Validated

前天

註釋

*Correction*

Confirmation of Pattern is @ 95.562!!