Potential Short Position for USD/JPY_Trade Plan 2017.08.04

4 באוג׳ 2017

Legend for price level, trend line, and rectangle:
Dark Gray > Weekly Level
Blue > Daily Level
Red > H4 / H1 Level
Green > M15 / M5 Level
Yellow > M1 Level

D1 show the market is quite consolidating with price moving around MA200 and forming Symmetrical Triangle pattern.
In H4, the overall trend is still consistently down with price forming Lower High Lower Low formation and still hold below MA200.
Yesterday, price has been rejected down from major resistance area 110.648 - 110.853 and breaks down previous low.

Trade Plan:
If price bounce back to the nearest confluences of resistance area around 110.231 - 110.375 (Price Structure, Fibo Ret 38.2%-50%, Down Trendline) and rejected down, short the market to follow the potential downtrend continuation.
With Stop Loss 39 pips and Target Profit 110 pips, the potential trade offers 2.82 Reward-to-Risk Ratio.