Week 45 EURJPY Analysis

(Technical analysis done by Eric Lye in our Forex Trading Blog.  The purpose is to share how we analyze the market using price action and put ourselves on the side of higher probability of things happening.)

What are the secrets of trading?  One of my answers is ability to plan.  To all my readers, if you are trading on a setup by setup basis, then likely you are not planning enough.  

Let's take EURJPY for an example, with the price action, it looks to break out of the trading range but it may or may not happen.  As traders, we do not predict the market but we manage the possibilities.  i.e. we plan for each scenario and see how we can manage our trades based on information given by the market as price progress throughout the week.