4H EUR/JPY chart showing a strong bullish structure with a projected continuation higher after a pullback.

Chris Trader
1 hour ago
2 min read

4H EUR/JPY chart showing a strong bullish structure with a projected continuation higher after a pullback.

Overall Market Structure

✅ Bullish trend remains intact

Price has been making higher highs and higher lows since around August 9.
The pair is trading above the rising moving averages.
Multiple ascending trendlines (blue and orange) are supporting the move.
Recent price action shows strong impulsive buying from the 184.00 area to approximately 186.00.

The trend is still bullish unless price starts closing below the main support zone.

Key Levels

Resistance

185.95 – 186.10

Current swing-high area.
Price has paused here and produced some consolidation candles.

186.50 – 186.80

Marked supply/target zone.
Also aligned with the upper channel projection and your annotated bullish target.

187.00+

Next major expansion target if momentum accelerates.

Support

First Support

185.05 – 185.17

Green demand zone.
Previous breakout area.
Confluence with rising trendline support.

This is the area your drawn pullback scenario targets.

Major Support

183.95 – 184.10

Strong demand zone below.
Origin of the latest impulsive move.
Losing this area would weaken the bullish structure significantly.

What the Price Is Doing Now

The latest candles show:

Rejection from the recent high.
Smaller candle bodies.
Momentum slowing after a sharp rally.

This typically suggests:

Consolidation
Shallow retracement
Continuation in trend direction

Your drawn path reflects a very common bullish continuation pattern:

Pull back into demand.
Retest support.
Continue toward higher resistance.

Trade Bias

Bullish Case (Higher Probability)

If price holds above 185.05–185.17:

Buyers likely defend the zone.
Potential move toward:
- 186.50
- 186.80
- 187.00+

The rising trendline and moving averages support this scenario.

Bearish Case

If 185.05 fails decisively:

Price could retrace toward 184.50.
Then possibly the larger demand zone around 184.00.
A 4H close below 183.95 would be the first serious warning that the uptrend is weakening.

What I Like About This Chart

Strong trend structure.
Clear higher-timeframe momentum.
Well-defined demand zone for a pullback entry.
Good risk/reward if buying from 185.05–185.15 toward 186.50+.

What Concerns Me

Price is currently somewhat extended after a steep rally.
Resistance is directly overhead.
A deeper correction than the drawn path is possible before the next leg up.

My Conclusion

The chart remains bullish on the 4H timeframe. The most likely path is a retracement into the 185.05–185.17 demand zone, followed by an attempt to continue toward 186.50–186.80. The bullish view remains valid while price holds above that support region; a break below it would increase the odds of a deeper move toward 184.00.

Chris