We have reached a Change of behavior that has led GJ into a trading range. Up to this point all the supply candles look much better and in control than the demand candles. Although I´m leaning towards a distribution, at this point we have to treat the trading range as a re-accumulation to be confirmed or to fail.
A very interesting observation is the JPY basket index. If we analyze the daily price action, the latest swing reaction has come to the point of release of the accumulation (liquidity base) and is currently trading above it as a HL. This is bullish behavior in the index and would mean that GJ would drop.
Nevertheless, I still don´t think that GJ is ready to move. There is a behavior within the trading range called the 2nd point of excitement, where there is a rally that looks very bullish that can make a HH, trapping weak hands into long positions and the final rally that provides liquidity to strong hands, then the reaction ensues. This is, of course, if we are in a distribution. For a re-accumulation I want to see a control in demand, that so far I don´t see.
Let me know what you thing in the comment section. Good luck trading
A very interesting observation is the JPY basket index. If we analyze the daily price action, the latest swing reaction has come to the point of release of the accumulation (liquidity base) and is currently trading above it as a HL. This is bullish behavior in the index and would mean that GJ would drop.
Nevertheless, I still don´t think that GJ is ready to move. There is a behavior within the trading range called the 2nd point of excitement, where there is a rally that looks very bullish that can make a HH, trapping weak hands into long positions and the final rally that provides liquidity to strong hands, then the reaction ensues. This is, of course, if we are in a distribution. For a re-accumulation I want to see a control in demand, that so far I don´t see.
Let me know what you thing in the comment section. Good luck trading