In forex, the fibonacci (fibo) ratios are used extensively to calculate resistance and support. Fibo level are reliable as a large number of traders use them, and when this happens the traders, in mass, drive the prices to these levels.
From yesterday swing high of 90.06 to a swing low of 88.42, USDJPY currency cross retraced to fibo 61.8% at 89.46 (24:00 GMT or one hour after Asian session opened). On 15 min TF, the RSI and lag indicators and BB was at overbought position. (refer to the chart above)
For 1 min TF trade, the 61.8% fibo retracement act as a resistance, and a reversal of trend is imminent.
The 1 min chart 2 below showed that BB and RSI was at extreme point at
At 00:21 GMT, the 6 ema cross from above the 12 ema (chart 1 below) with Stealth BUY & SELL filter showed a red color indicating for us to initiate a sell of USDJPY. Our profit target will be at 23.6% retarcement-89.25 and 38.2% retracement-89.04 of the swing low at
The second profit target was reached and our profit is 34 pips (89.37-89.04). With just one trade I have achieve my objective of having 30 pips profit per session.
Chart 2
