Bearish Quasimodo in 4H time frame

2023年10月4日

In this 4-hour chart of USD/JPY, we observe the recent decline forming a bearish Quasimodo pattern. Following a notable uptrend characterized by successive higher highs and higher lows, the price experienced an abrupt drop, giving rise to the Quasimodo level. This development suggests an increased influence of sellers in the market. Now, our strategy entails patiently awaiting a price retracement to the upper supply zone, where we will seek an opportunity to initiate a sell position. The lower support level beneath will serve as the target for this sell trade.