From the technical views:
1. From the weekly point of view, the price was reached the major weekly resistance, and if you look at the historical data, once the price reached this area, it will start to drop and we can expect the same scenario to happen again from this area.
2. From the daily perspective, daily resistance is correlated with the weekly resistance, we can expect the deeper retracement start form this area.
From the fundamental views:
1. The institutional is bearish bias on the GBP in the long term, but bullish in the short term. And bullish bias on the JPY in the short term.
2. But their bullish interest starts to end, and shifting it to the bearish bias. Because in the new data, net positions from -15k become -25k at the moment, -6.9k of the long positions were closed and another 3.4k of the short positions were added. From the JPY, more long positions were added, around 12k of long added, net positions from 16k to 28k at the moment. So, strong JPY weak GBP we can expect GBPJPY will move to the downside soon.
How to approach GBPJPY?
1. Waiting for the market shift to the bearish market on the lower timeframe perspectives.
2. After that, look for the short opportunity on the lower timeframe if your rules of the strategy are fulfilled.
3. Just short at the moment based on the weekly resistance is not a good idea, because the lower timeframe keeps creating HH and HL, it may easily break to the upside to hunt your SL and continue to move to the upside/downside.
The result might not follow my analysis, this analysis is based on the TA & FA perspectives.
Comment down below let me know your view on GBPJPY or which pairs you would like to me analyze in the future.
1. From the weekly point of view, the price was reached the major weekly resistance, and if you look at the historical data, once the price reached this area, it will start to drop and we can expect the same scenario to happen again from this area.
2. From the daily perspective, daily resistance is correlated with the weekly resistance, we can expect the deeper retracement start form this area.
From the fundamental views:
1. The institutional is bearish bias on the GBP in the long term, but bullish in the short term. And bullish bias on the JPY in the short term.
2. But their bullish interest starts to end, and shifting it to the bearish bias. Because in the new data, net positions from -15k become -25k at the moment, -6.9k of the long positions were closed and another 3.4k of the short positions were added. From the JPY, more long positions were added, around 12k of long added, net positions from 16k to 28k at the moment. So, strong JPY weak GBP we can expect GBPJPY will move to the downside soon.
How to approach GBPJPY?
1. Waiting for the market shift to the bearish market on the lower timeframe perspectives.
2. After that, look for the short opportunity on the lower timeframe if your rules of the strategy are fulfilled.
3. Just short at the moment based on the weekly resistance is not a good idea, because the lower timeframe keeps creating HH and HL, it may easily break to the upside to hunt your SL and continue to move to the upside/downside.
The result might not follow my analysis, this analysis is based on the TA & FA perspectives.
Comment down below let me know your view on GBPJPY or which pairs you would like to me analyze in the future.