‘Here is the zone once again. It doesn’t really get much clearer that this.’
It really doesn’t get much clearer than this indeed. Again.
Resistance turned support and then back to resistance again. A clear zone reactivated again and again by both the bulls and the bears.
Just take a look at the chart inside that old blog I’ve reposted here:
AUD/JPY Daily:
Now back to the present and take a look at the way price moved down, but also failed to make a new low, before ripping back up to that same resistance zone:
AUD/JPY Daily:
As long as price is within this zone, whichever direction you decide to trade is essentially a guess. You have no confirmation of resistance holding or breaking out and no momentum to jump aboard. All we know is that the level is in play.
