Break Check Pattern | Live Trade | USDJPY | Daily Chart

By | March 6, 2016

See attached video – This was originally posted in July of 2014. Support was broken followed by a retrace that closed back inside the breakout zone however, that candle was quickly engulfed with a close back outside the break. When you see a close back inside the breakout you have long traders entering the market as well. As they buy into the market the banks are selling to them thereby further fueling the downside fire. There was a nice broken resistance level for the target that I would expect to see act as a support floor. Therefore, I made sure to keep my target above that level.

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