Sold: 161.15
Stop-out: 161.35
Loss: $168.49
Analysis Using Top-Down Approach
Daily Timeframe
USDJPY is in an uptrend.
4 Hours Timeframe
Trend is potentially reversing from an uptrend to a downtrend.
Update..
Trend has turned bearish. Price broke through the last low.
1 Hour Timeframe
Liquidity happened 3 times. There’s potentially a lower high being formed, signalling a potential downtrend. Wait for lower low being formed for further confirmation of a downtrend.
Update..
Lower high and lower being formed, signalling a downtrend. Enter for a sell.
15 Mins Timeframe
Price broke through the last low and formed a lower high, signalling a downtrend in the 15 mins timeframe.
Trade
Price broke through the last lower low. Placed a sell order at 161.150 (sell order triggered). Stop loss at 161.35, take profit at 160.625.
Result
Price triggered my stop loss at 161.35.
Loss: $168.49
Lessons Learnt
Daily timeframe is bullish. Don’t go against the trend.
4 Hours Timeframe
The price that I entered is in the liquidity zone and a strong demand zone.
