CHF/JPY -- 12/4/2018
Another week another win in regards to the market environment. Every first week of the month we have NFP week which stands for non-farm payroll. The difference with this week compared to other weeks is that the volatility goes a down a bit because the banks don't trade as much. Because of this massive change in volume the price does not trend as well and instead impulses.
Therefore, the approach for this week was slightly different.
With CHFJPY havin a strong upward structure on the daily timeframe, we can see that on the Weekly Timeframe price was approaching a structural retest area from last week and it ended up rejecting this level.
Coming in to last week, price created a reversal pattern combined with a continuation pattern. so it really was a fight between the buyers and the sellers.
After price was rangebound between 0.618 and the 0.718 fib area. We can see that price broke the last Higher Low which resulted in a potential change of structure. In Q4 and NFP week we know that the market impulses more than usual. By waiting for a daily break the trade might not have been trade-able. Therefore we took the trade on the break retest, and just rode it to the lows making for a nice 1:2 risk reward with a tight stop. The trade ended at TP2.
Here's a few examples of client profits!
TheTechnicalTrader123 is the head analyst at KTFRX and a student of thatfxtrader. If you wish to learn how to trade on your own, head to www.thatfxtrader.com.