EUR/JPY: Ichimoku clouds 18 February 2019, 08:18

EUR/JPY: Ichimoku clouds

18 February 2019, 08:18

Scenario
Timeframe	Intraday
Recommendation	SELL STOP
Entry Point	124.71
Take Profit	124.12
Stop Loss	125.06
Key Levels	124.42 124.71 125.06 125.93

Alternative scenario
Recommendation	BUY STOP
Entry Point	125.06
Take Profit	125.55
Stop Loss	124.71
Key Levels	124.42 124.71 125.06 125.93

Let's look at the four-hour chart. Tenkan-sen line is below Kijun-sen, the lines are horizontal . Confirmative line Chikou Span is below the price chart, current cloud is descending. The instrument has entered the cloud. The closest support level is the lower border of the cloud (124.71). The closest resistance level is the lower border of the cloud (125.06).



On the daily chart Tenkan-sen line is above Kijun-sen, the red line is directed downwards, while the blue one remains horizontal. Confirmative line Chikou Span is above the price chart, current cloud is ascending. The instrument is trading above Tenkan-sen and Kijun-sen lines; the Bullish trend is still strong. The closest support level is the upper border of the cloud (124.42). One of the previous maximums of Chikou Span line is expected to be a resistance level (125.93).

On the four-hour chart the instrument is trading within the cloud. On the daily chart the Bullish trend is still strong. It is not recommended to open positions at current price. Pending orders should be placed at the cloud’s borders: sell at the level of 124.71, with Take Profit at 124.12 and Stop Loss at 125.06; buy at the level of 125.06, with Take Profit at 125.55 and Stop Loss at 124.71.