EUR/JPY – Bullish Rejection from Demand Zone | 4H Smart Money Setup
Pair: EUR/JPY
Timeframe: 4H (4-Hour)
Bias: Bullish
Status: Trade Active
Strategy: Demand Zone Rejection / Smart Money Concepts (SMC)
Market Context
EUR/JPY has been in a broader uptrend with higher highs and higher lows throughout July. Recently, the market retraced and tapped into a clearly defined demand zone, showing bullish rejection—a potential opportunity for long entries.
Key Technical Highlights
• Demand Zone marked around 170.65 – 171.30
o Formed by previous accumulation before the last strong impulsive bullish leg.
o This zone acts as institutional support, where large buy orders may reside.
o Price wicked into the zone and printed a bullish candle, suggesting buyer interest.
• Risk-Reward Structure
o Entry: ~171.33 (current price action after bounce)
o Stop Loss: Below demand zone (~170.66)
o Take Profit: 173.38 (previous high / clean traffic zone)
• The position is marked on chart with a clear long setup:
o Green zone = Target
o Red zone = Risk
o Trade offers a favorable Risk:Reward > 2:1
Scenarios
Bullish Continuation
• Price continues upward respecting demand zone.
• Confirmation from bullish price action or break of lower highs (structure shift).
• Clean targets above at 173.00 – 173.40.
•
Bearish Invalidity
• Price closes below 170.65 on a 4H candle.
• Break of demand invalidates the setup.
• Next potential support lies lower near 169.80.
Trade Plan Summary
Component Value
Entry 171.33
Stop Loss 170.66
Take Profit 173.38
R:R Ratio ~2.5:1
Status Active, Waiting for Follow-through
Conclusion
EUR/JPY is showing a clean rejection from a strong 4H demand zone after a healthy pullback. Structure still supports a bullish continuation, and the trade is positioned with tight risk and strong upside potential. Monitoring for confirmation via momentum and market structure.
Pair: EUR/JPY
Timeframe: 4H (4-Hour)
Bias: Bullish
Status: Trade Active
Strategy: Demand Zone Rejection / Smart Money Concepts (SMC)
Market Context
EUR/JPY has been in a broader uptrend with higher highs and higher lows throughout July. Recently, the market retraced and tapped into a clearly defined demand zone, showing bullish rejection—a potential opportunity for long entries.
Key Technical Highlights
• Demand Zone marked around 170.65 – 171.30
o Formed by previous accumulation before the last strong impulsive bullish leg.
o This zone acts as institutional support, where large buy orders may reside.
o Price wicked into the zone and printed a bullish candle, suggesting buyer interest.
• Risk-Reward Structure
o Entry: ~171.33 (current price action after bounce)
o Stop Loss: Below demand zone (~170.66)
o Take Profit: 173.38 (previous high / clean traffic zone)
• The position is marked on chart with a clear long setup:
o Green zone = Target
o Red zone = Risk
o Trade offers a favorable Risk:Reward > 2:1
Scenarios
Bullish Continuation
• Price continues upward respecting demand zone.
• Confirmation from bullish price action or break of lower highs (structure shift).
• Clean targets above at 173.00 – 173.40.
•
Bearish Invalidity
• Price closes below 170.65 on a 4H candle.
• Break of demand invalidates the setup.
• Next potential support lies lower near 169.80.
Trade Plan Summary
Component Value
Entry 171.33
Stop Loss 170.66
Take Profit 173.38
R:R Ratio ~2.5:1
Status Active, Waiting for Follow-through
Conclusion
EUR/JPY is showing a clean rejection from a strong 4H demand zone after a healthy pullback. Structure still supports a bullish continuation, and the trade is positioned with tight risk and strong upside potential. Monitoring for confirmation via momentum and market structure.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.